Problema Solution
Suppose that $2000 is loaned at a rate of 9% , compounded monthly. Assuming that no payments are made, find the amount owed after 7 years.
Do not round any intermediate computations, and round your answer to the nearest cent.
Answer provided by our tutors
P = 2000
r =9% = 9/1200 = 0.0075
n = 7*12 = 84
so amount after 7 years = $3,746.40