Question

Please help! I will mark brainliest.

Answer 1

Answer: A = $1503.6

Step-by-step explanation:

We would apply the formula for determining compound interest which is expressed as

A = P(1 + r/n)^nt

Where

A = total amount in the account at the end of t years

r represents the interest rate.

n represents the periodic interval at which it was compounded.

P represents the principal or initial amount deposited

From the information given,

P = 1000

r = 6% = 6/100 = 0.06

n = 1 because it was compounded once in a year.

t = 7 years

Therefore,.

A = 1000(1 + 0.06/1)^1 × 7

A = 1000(1.06)^7

A = $1503.6