An employee puts $3,000 into a retirement fund that offers 7% interest compounded annually. The employee makes no other deposits

Question

3 years ago

11

or withdrawals. Which amount is closest to the interest that the employee will have earned after 4 years?

1 answer:

Nookie1986 [14] · Answer 1 · 2022-10-10T23:52:07+03:00

7 0

Answer:

$840

Step-by-step explanation:

Given data

Principal = $3000

Rate= 7%

Time= 4 years

The expression for the simple interest is

SI= PRT/100

substitute

SI= 3000*7*4/100

SI= 30*7*4

SI= $840

Hence the interest is $840