Problema Solution
Simon invests $19,500, at 9% interest, compounded annually for 11 years. Calculate the compound amount for his investment.
Answer provided by our tutors
P = $19,500 the principle or present value
r = 0.09 or 9% the annual rate
t = 11 years the number of years or the number of compounding periods
A = the future value or compound amount
A = P(1 + r)^t
A = 19500(1 + 0.09)^11
A = $50,318.315
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