Estimate the following using general rule.
1 answer:
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Answer:
$2,753.79
Step-by-step explanation:
Compound Interest Formula
where:
- A = final amount
- P = principal amount
- r = interest rate (in decimal form)
- n = number of times interest applied per time period
- t = number of time periods elapsed
Given:
- P = $2,000
- r = 3.25% = 0.0325
- n = 1
- t = 10
Substitute the given values into the formula and solve for A:
Therefore, the value of the investment after 10 years will be $2,753.79 to the nearest cent.