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Popular Word Problems >

Linda deposited 200 in an account earning 5% interest compounded annually.To the nearest cent, how much will she have in 2 years?

Solución

L in d a d e p os i t e d 200 in an a cco u n t e a r nin g 5% in t eres t co m p o u n d e d ann u a ll y . T o t h e n e a res t ce n t, h o w m u c h w i ll s h e ha v e in 2 ye a rs ?

Solución

Amount : 220.5

Pasos de solución

Translate the problem into an equation:

A = 200 (1 + \frac{0.05}{1})^{1 \cdot 2}

200 (1 + \frac{0.05}{1})^{1 \cdot 2} = 220.5

Amount : 220.5

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