Question

Find A if P = $15, 000, r =0.02, n = 4, and t = 5 in the compound interest formula.

Answer 1

Okay, here we have this:

We need to replace the values in the compound interest formula to find A, so we have the following formula:

`A=P(1+(r)/(n))^(nt)`

So, replacing we obtain:

`\begin{gathered} A=15000(1+(0.02)/(4))^(4\cdot5) \\ A=15000(1.005)^(20) \\ A\approx16573.43 \end{gathered}`

Finally we obtain that A is aproximately $16573.43.