Get the information you need quickly and easily with IDNLearn.com. Our platform offers detailed and accurate responses from experts, helping you navigate any topic with confidence.
Sagot :
If Carla plans to invest $9,000 for 10 years and Better Bank offers a 10 year CD at an annual rate of 4% using simple interest. then investment will be worth $12600 .
What is simple interest?
Simple interest is based on the principal amount of a loan or the first deposit in a savings account.
Given that Carla plans to invest $9,000 for 10 years. Better Bank offers a 10 year CD at an annual rate of 4% using simple interest.
We know
A= PRT+ P =P(RT+1)
Where
A = Final amount,
P = Principal amount=9000
R = Annual interest rate in decimal form=0.04
t = Time in years=10
Final amount can be calculated as
[tex]&A=\$ 9000(1+0.04 \times 10) \\\\&A=\$ 9000(1+0.4) \\\\&A=\$ 9000(1.4) \\\\&A=\$ 12600\\[/tex]
If Carla plans to invest $9,000 for 10 years and Better Bank offers a 10 year CD at an annual rate of 4% using simple interest. then investment will be worth $12600 .
To learn more about simple interest visit :https://brainly.com/question/2294792
Your presence in our community is highly appreciated. Keep sharing your insights and solutions. Together, we can build a rich and valuable knowledge resource for everyone. IDNLearn.com is committed to providing the best answers. Thank you for visiting, and see you next time for more solutions.
