Answer:
$4793.12
Step-by-step explanation:
The first step in working out the amount after 15 years is to convert the percentage of 6% to a decimal. You can do this by dividing 6 by 100, this gives you 0.06. This is because a percentage is out of 100.
The next step is to add 1 to the value of 0.06, this gives you 1.06. You would add 1 as you are working out a percentage increase.
The final step is to multiply the amount of $2000 by the value of 1.06 to the power of 15, this gives you 4793.12 (rounded to 2 decimal places). This is because we are working out the percentage of $2000 and then adding that on to be recaluclated with the new amount.
1) Divide 6 by 100.
2) Add 1 to 0.06.
3) Multiply 2000 by 1.06 to the power of 15.
Answer:
We will choose option D.
Step-by-step explanation:
Milton took out a loan for $2400 at 7% interest compounded annually.
So, after one year his loan will grow up to dollars.
Therefore, the interest added to the principal is $(2568 - 2400) = $168
But Milton makes yearly payment of $140 which is less than the interest i.e. $168 which is added to his loan in the first year.
Therefore, he can not ever pay off the loan.
So, we will choose option D. (Answer)