Question

If you invest $2000 today in a bank that gives you a 4% annual interest rate, which of these items can you buy in seven years?

a. A home theater system worth $3000

b. A designer dress worth $2700

c. A mountain bike worth $2500

Answer 1

wait a few mins

Answer 2

HI!!

Answer 3

you can do this with a calculator by computing
\[2000\times (1.04)^7\]

Answer 4

ust multiply $1,500 x .05 to get the yearly interest
Then find out how many years and multiply it by that.

Answer 5

Thanks guys, I got it right. :)