Question

Suppose you invest $1850 at an annual interest rate of 5.2% compound annually. write a function to re[resent the total earnings e(t) as a function of time in years,t.

Answer 1

Answer:$1,942.50

Explanation:

A = P(1 + rt)

Calculation:

First, converting R percent to r a decimal

r = R/100 = 2.5%/100 = 0.025 per year.

Solving our equation:

A = 1850(1 + (0.025 × 2)) = 1942.5

A = $1,942.50

The total amount accrued, principal plus interest, from simple interest on a principal of $1,850.00 at a rate of 2.5% per year for 2 years is $1,942.50.