Answer:
The value of his investment in 3 years = $10007.53
Step-by-step explanation:
Compound interest
A = P[1 +R/n]^nt
Where A - amount
P - principle amount
R = rate of interest
t - number of years
n - number of times compounded yearly
To find value if investment
Here P = $9500, R = 1.75% = 0.0175 n = 1 and t = 3
A = P[1 +R/n]^nt
= 9500[1 + 0.0175/1]^(1 * 3)
= 10007.53
Answer:
$10,012.07
Step-by-step explanation:
Identify the values of each variable in the formula. Remember to express the percent as a decimal.
APrt=?=$9,500=0.0175=3 years
For compounding continuously, use the formula A=Pert.
Substitute the values into the formula and compute the amount to find
AA=9,500e0.0175⋅3=$10,012.07.
