If Connie deposits $100 into a savings account with a 3% annual interest rate and doesn't withdraw any of the money for 2 years,

Question

3 years ago

14

what will her balance be at the end of 2 years?

1 answer:

laiz [17] · Answer 1 · 2022-02-25T22:20:17+03:00

Answer:

<h2>The final amount/ her balance after two years is $106.09</h2>

Step-by-step explanation:

We are going to assume that the balance compounds every year

applying the compound interest formula we have

$A= P(1+r)^t$

where

A, final amount

P, Principal= $100

r, Rate= 3%= 0.03

T, time= 2years

substituting our values into the formula we have

$A= 100(1+0.03)^2\\A=100(1.03)^2\\A=100*1.0609\\A=106.09\\$

The final amount/ her balance after two years is $106.09