Algebra 1: Common Core (15th Edition)

Published by Prentice Hall
ISBN 10: 0133281140
ISBN 13: 978-0-13328-114-9

Chapter 7 - Exponents and Exponential Functions - 7-7 Exponential Growth and Decay - Practice and Problem-Solving Exercises - Page 464: 18

Answer

$28,366.90

Work Step by Step

The formula is:A=P(1+$\frac{r}{n}$$)^{nt}$ P=20000 which is the start amount R=0.035 which is the rate(3.5%) in decimal N=12 because it is the number of times compounded per year. T=10 which is the time. Substitute: A=20000(1+$\frac{0.035}{12}$$)^{12(10)}$ A=20000(1.41) A=28366.90 There would be about $28,366.90 after 10 years
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