Question

$825 due in 3 years at 10% compounded annually.

Answer 1

Given: Principal, P=$825

Rate, R=10% compounded annually

Time, t=3 years.

Required: To find the amount after 3 years.

Explanation: The amount, A after t years at r% rate is given by

$A=P(1+\frac{r}{100})^t$

Putting the values we get

$\begin{gathered} A=825(1+\frac{10}{100})^3 \\ A=1098.075\text{ \ } \end{gathered}$

Final Answer: The amount after 3 years is $1098.075.