Answer:
A = $2200(7.612) = $16,747.28
Step-by-step explanation:
You don't say whether this is simple interest or compound interest. I will assume you meant compound interest, for which the appropriate formula is
A = P(1 + r)^t, where P is the principal amount, r is the interest rate as a decimal fraction, and t is the time in years. Then:
A = $2200(1 + 0.0725)^29, or
A = $2200(1.0725)^29, or
A = $2200(7.612) = $16,747.28
Answer:
[tex] A =2200 (1+\frac{0.0725}{1})^{1*29}= 16747.29$[/tex]
Step-by-step explanation:
For this case we assume that we can use the compound interest formula given by:
[tex] A = P (1+\frac{r}{n})^{nt}[/tex]
Where:
A= represent the future value
P = represent the present value
r = the interest rate on fraction
n = number of time that the interest is effective in a year
So for this case we know the following info:
P = 2200$, r = 0.0725 , n =1 (since it's annual) and t =29. We want to find the value for A, so we just need to replace like this:
[tex] A =2200 (1+\frac{0.0725}{1})^{1*29}= 16747.29$[/tex]
And that would be the amount after 29 years with the rate assumed.
