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My name is Ann [436]
3 years ago
6

If $17,000 is invested in an account for 25 years. Calculate the total interest earned at the end of 25 years if the interest is

: (a) 7% simple interest: $ (b) 7% compounded annually: $ (c) 7% compounded quarterly: $ (d) 7% compounded monthly: $

Mathematics
1 answer:
KATRIN_1 [288]3 years ago
5 0

Answer:

a.) $29,750.00   simple interest

b.) $75,266.35  Compounded annually

c.) $79,358.65 compunded  quarterly

d.) $80,332.11 compounded monthly

Step-by-step explanation:

a.) Formula: I = p x r x t

Where:

P is the principal amount, $17000.00.

r is the interest rate, 7% per year, or in decimal form, 7/100=0.07.

t is the time involved, 25....year(s) time periods.

So, t is 25....year time periods.

To find the simple interest, we multiply 17000 × 0.07 × 25 to get that:

The interest is: $29750.00

______________________________

b.) $75,266.35

c.) $79,358.65

d.) $80,332.11

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Answer:

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Step-by-step explanation:

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