Ben is buying a tiny house. He will borrow $23,000 at a rate of 3% per year for 4 years. If the interest is compounded annually,
1 answer:
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Answer:
The final amount is 550.93.
Step-by-step explanation:
Here, the given amount is 468.
Now 8% of the given amount is
⇒ 8% of 468 = 37.44
So, the New amount = Initial Amount + 8% increase
= 468. + 37.44 = 505.44
Now 9 % of the new amount 505.44 is
[tex]\frac{9}{100} \times 505.44 = 45.4896/tex]
⇒ 9% of 505.44 = 45.4896
So, the Final amount = New Amount + 9% increase
= 505.44 + 45.4896 = 550.93
Hence, final amount is 550.93.