ECONOMICS
COMPOUND INTEREST
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Find the total amount in the account to the nearest cent if the interest is compounded annually. $2750 at 8% for 2 years
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$2200.00
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$3207.60
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$8910.00
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$2750
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Explanation:
Detailed explanation-1: -’Find the total amount of interest to the nearest cent if the interest $ comi unded annually. $2750at 8% for 2 years P-S2750 0.08 years Total interest =Accrued Amount $ $2750 =$ 457.60’
Detailed explanation-2: -So, The Amount will be Rs. 2163.
Detailed explanation-3: -That is, the amount Rs. 2646 to be paid at the end of 2 years on Rs. 2400 at 5% per annum compounded annually. So, the correct answer is “2646”.
Detailed explanation-4: -Compound interest formulas Hence, if a two-year savings account containing $1, 000 pays a 6% interest rate compounded daily, it will grow to $1, 127.49 at the end of two years.
There is 1 question to complete.