Question

Hie, here's my question: $1800 at 6.5% for 30 months

A. Find the interest earned.
b. Find the balance of the account.

Answer 1

A. 10105.86 (compound) or 3510 (simple)

B.11905.86 (compound) or 5310 (simple)

Explanation:

If its's compound interest:

`1800(1 + (6.5)/(100)) ^(30) = 11905.86`

`11905.86 - 1800 = 10105.86`

If it's simple interest:

`6.5 * 30 = 195`

`(1800 * 195)/(100) = 3510`

`3510 + 1800 = 5310`