Compound and Simple Interest. Check my Answers! :)

Question

anonymous · Answer

1.  Timothy deposited $2,780.20 in a savings account that earns 4.3% simple interest. What will Timothy’s account balance be in 7 months?

A= 2,780.20 (.043)(.75)			2,780.20 x .043 = 119.5489


							119.5486 x .75 = 89, 66145













2.  Elliot has deposited $723 in a savings account that earns interest at a rate of 2.9% compounded twice a year. What will the account balance be in 23 years?


A = 723 (1 + .029/2) (2)(23)
A= 723 (1.0145)46
A= 723 (46.667)
A = 33,740,241







3.  Logan opened a savings account 21 years ago with a deposit of $3,471.52. The account has an interest rate of 3.1% compounded monthly. How much interest has Logan earned? 

A=3, 471.52 (1+ 0.31/12) (12)(21)
A= 3,471.52(4.72)(525)
A= 3,471.52(1,189.44)
A= 4129164.749