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Mathematics 14 Online
OpenStudy (anonymous):

How much compound interest is earned on $1500 at 3% interest for 2 years, compounded annually? Give your answer in dollars and cents. Don’t forget to subtract P from A. Compound Interest

OpenStudy (anonymous):

OpenStudy (anonymous):

@_alex_urena_

OpenStudy (anonymous):

so you know that p=1500 and r=.03 and n=1 cuz annually is 1 year and t=2...so now substitute

OpenStudy (anonymous):

1545?

OpenStudy (anonymous):

lemme check

OpenStudy (anonymous):

nope

OpenStudy (anonymous):

btw you dont subtract P from A..you cant do that...cuz your finding A

OpenStudy (anonymous):

you should have multiplied 1500(1.03)^2

OpenStudy (anonymous):

i didnt subtract

OpenStudy (anonymous):

ok good

OpenStudy (anonymous):

1.03^ is 1.03*1.03 right?

OpenStudy (anonymous):

yeah

OpenStudy (anonymous):

now i got 1591.35

OpenStudy (anonymous):

yup make sure you put $

OpenStudy (anonymous):

okay thanks again for the help:)

OpenStudy (anonymous):

np XD

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