Question

You deposit $4300 in an account that earns 2% per year simple interest. The

equation that represents this situation is:
A(n) = 4300 + (n - 1)(0.02 • 4300)
How much will you have in the account at the beginning of the 8th year?
Round your answer to the nearest dollar.
A. $10,320
B. $4988
C. $4902
D. $4386

Answer 1

Total amount = $4,902

Explanation:

GIven:

Equation.

A(n) = 4,300 + (n - 1)(0.02 × 4,300)

Number of years (n) = 8

Amount deposit = $4,300

Rate of interset = 2%

Computation;

A(n) = 4,300 + (n - 1)(0.02 × 4,300)

By putting, n = 8

A(n) = 4,300 + (8 - 1)(0.02 × 4,300)

A(n) = 4,300 + (7)(86)

A(n) = 4,300 + 602

A(n) = 4,902

Total amount = $4,902