Question

Ebonie invests in $2500 today in an account earning 7%. How much will she have in 5 years?

Answer 1

Answer:

Amount she Receive in 5 years = $3506.37

Step-by-step explanation:

Given in question as

Ebonie invests amount in account = P = $2500

The interest rate she will have = 7%

The amount will keep in account for 5 years

Now we apply compound interest (CI ) to determine how much she will receive after 5 years ,

So , for CI

Amount = principal ( 1 + $\frac{Rate}{100}$ ^ T     ,where T is Time

So, A = 2500 ( 1 +$\frac{7}{100}$)^5

Or, A = 2500 (1.40255)

Or, A = $3506.37

Hence Amount she will receive $ 3506.37  Answer