How much money will you have in 2 ½ years if you deposit $2,000 into a savings account with a simple interest rate of 4%?

Question

sammixboo · Answer

Do you know of any formula that can help solve this problem?

shada8901 · Answer

its financial literacy, but its math so 
its.. I=P times V times T

sammixboo · Answer

V is your interest rate, correct? (I usually know it as i or r)

shada8901 · Answer

yes

mr_perfection_xd · Answer

@Shada8901 forget the letters. Just do 2000 * .04 = answer,
substract your answer to 2000, and then add it to 2000.
use this answer to * .04 = another answer ...
do this step for 30 months.

mr_perfection_xd · Answer

i might have confused you. @sammixboo you can step in

shada8901 · Answer

30 months?????

shada8901 · Answer

do what?

shada8901 · Answer

you said do this step for 30 MONTHS!!!!!!

sammixboo · Answer

30 months is equal to 2 and a half years

shada8901 · Answer

ok thx @sammixboo

jim_thompson5910 · Answer

P = 2000 is the amount deposited
r = 0.04 is the interest rate in decimal form
t = 2.5 is the time in years (2 and a half = 2.5)

plug in those values into
i = P*r*t

to find the interest earned. Then add that interest amount to the original deposit of $2000 to get the final amount

shada8901 · Answer

thx @jim_thompson5910

jim_thompson5910 · Answer

no problem

mr_perfection_xd · Answer

thats what i meant thnx jimmy