Question

Rachel invested $1000. The interest rate for her account is 8% compounded annually. What is the amount of money in her account after 3 years if she does not deposit or withdraw any additional money?

Answer 1

Answer:

$1259.712

Step-by-step explanation:

Year 1 she made 80 bucks = $1080

Year 2 she made 86.4 bucks = $1166.4

Year 3 she made 93.312 bucks = $1259.712

You have to convert 80% into a decimal, 0.08

Then multiply 0.08 by the number invested ($1000)

Repeat the multiplication process 3 times because her

investment lasted 3 years