How do I solve this problem
1 answer:
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Answer:
$104.19
Step-by-step explanation:
We will use the compound interest formula to solve this:
<em>P = initial balance</em>
<em>r = interest rate (decimal)</em>
<em>n = number of times compounded annually</em>
<em>t = time</em>
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First, lets change 5% into a decimal:
5% -> -> 0.05
Now, plug the values into the equation:
After 3 years, Maria will have $104.19