Question

In 2011 Sara invested $889.00 into a bank account for her newborn son. The account adds 5% interest each year. What will the accrued value be in 2029? Round to the nearest cent.

Answer is $2139.48
How do you get this because the i=prt does not get this answer.

Answer 1

$2139.48

Explanation:

the equation that you have to use is "y=a(1+r)^t

so, y = 889 ( 1+0.05)^18

now you just put this into the calculator and the answer is $2139.48. maybe double check.