Answer:
A= $52,190.93
Step-by-step explanation:
A = $ 52,190.93
A = P + I where
P (principal) = $ 40,000.00
I (interest) = $ 12,190.93
Calculation Steps:
First, convert R percent to r a decimal
r = R/100
r = 3%/100
r = 0.03 per year,
Then, solve our equation for A
A = P(1 + r/n)nt
A = 40,000.00(1 + 0.03/1)(1)(9)
A = $ 52,190.93
Summary:
The total amount accrued, principal plus interest,
from compound interest on an original principal of
$ 40,000.00 at a rate of 3% per year
compounded 1 times per year
over 9 years is $ 52,190.93.
