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31 August, 04:59

William invested $5000 in an account that earns 3.8% interest, compounded annually. The formula for compound interest is A (t) = P (1 + i) t.

How much did William have in the account after 6 years? (APEX)

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Answers (2)
  1. 31 August, 05:04
    0
    My formula is I=p•r•t

    I = 5000•0.038•6

    I = 1140

    Since that is just the interest you have to add the interest and money invested

    1140+5000=$6140
  2. 31 August, 05:07
    0
    I think you have mistaken the formula.

    I will do it this way.

    Interest after 6 years: 1.038^6 * $5,000

    Thus, amount after 6 years = $6,253.95
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