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9 April, 06:53

Luis wants to know how much he will have available to spend on his trip to Belize in three years if he deposits $2700 today at an interest rate of 7%.

If he deposits $2700 today at an annual interest rate of 7 percent, the amount Luis will have to spend on his trip to Belize in three years is $___?

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  1. 9 April, 07:17
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    Use the compound amount formula: A = P (1+r) ^t

    Here, A = $2700 (1+0.07) ^3 = $3307.62

    Luis will have accumulated $3307.62 to spend on his trib to Belize.
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