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If you put $700 in a savings account at an interest rate of 3 percent, how much money will you have in one year?

1 Answer

3 votes

Answer:

$721

Step-by-step explanation:

The computation of the future value is shown below:

As we know that

Future value = Present value × (1 + interest rate)^number of years

= $700 × (1 + 0.03)^1

= $700 × 1.03

= $721

By applying the future value formula, we can get the value of money after considering the time period and the interest rate

User David Kean
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