Question

Suppose you deposit 2000 in a savings account that pays interest at an annual rate of 4%. If no money is added or withdrawn, determine how much with be in the account after 3 years. HELP!!! MEDAL

Answer 1

4% = .04 right?

Answer 2

I believe so

Answer 3

This is a growth or decay equation but its complicated, do you know how?

Answer 4

So it PAYS at a rate of 4% per YEAR for 3 YEARS

Answer 5

1.04 is your growth per year and your time is 3 years

Answer 6

Do you need me to explain how I got 1.04?

Answer 7

Yes, if you can input the numbers into the equation? I want to see how you did it

Answer 8

Yeah so first we know 4% is .04
If I want it to grow at a % rate I add a one to it, if I wouldnt do this then I would be left with 4% of my current number:
2000*.04 = 80
we know this wouldn't work because 80 < 2000. To be a growth rate we need a number > 2000.
2000* 1.04 = 2080
This is the growth for the first year.

You could also do 2000*.04 + 2000 since 2000*.04 + 2000 = 2000*.04 + 2000 * 1 = 2000*1.04

Answer 9

So in short to grow add a one to your percent

Answer 10

So our first year total is 2080
Our second year would be 2080(1.04)
and our third year would be (second year total)1.04

Answer 11

AHHH omg

Answer 12

So that's how! Great. THANK YOU SO MUCH!!!!!! I can do my homework with ease. Thank you :) <3

Answer 13

Yeah no problem

Answer 14

ok here is my answer....
So our first year total is 2080
Our second year would be 2080
and our third year would be 1.04

Answer 15

hope this helps

Answer 16

Be nice guys

Answer 17

Sorry

Answer 18

Thanks @swagmaster47 and please behave @ahvei

Answer 19

ok fine sorry

Answer 20

Thanks :),

have a great day!