Question

Remember: P(1+r)t Using the expression above, choose the correct answers for the new balance and the amount of interest earned in the following compound interest problem. $950 at 7% for 8 years, compounded annually. Total Amount = $ Interest Amount = $

Answer 1

Total amount
950×(1+0.07)^(8)
=1,632.28

Interest amount
1,632.28−950
=682.28