Question

Mo puts $290000 into savings bonds that pay a simple interest rate of 5.2%. How much money will the bonds be worth at the end of 6 years

Answer 1

in six years, Mo will have roughly $393090.4 in savings bonds.

Explanation:

(This might not be the most efficient way to do it.)

year one - 290000 x 1.052 = 305080

year two - 305080 x 1.052 = 320944.16

year three - 320944.16 x 1.052 = 337633.256

year four - 337633.256 x 1.052 = 355190.185

year five - 355190.185 x 1.052 = 373660.075

year six - 373660.075 x 1.052 = 393090.399

in six years, Mo will have roughly $393090.4 in savings bonds.