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ikadub [295]
3 years ago
7

I have no idea how to do this

Mathematics
1 answer:
Dimas [21]3 years ago
7 0

Answer:

can u send me example of relatable solved question so I can try to help u

Step-by-step explanation:

sorry

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A bank made a farmer loan of $1,000 at 14% for 3 years compounded annually. Find the future value and the compound interest paid
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Answer:

Principal =  $1,000

Rate of interest = 14% = 0.14

Time = 3 years

A= P(1+r)^t

A = Amount or future value

P = Principal

r = rate of interest in decimals

t = time

Substitute the values in the formula

A= 1000(1+0.14)^3

A=1481.544

Future Value is $1481.544

Compound interest = Amount - Principal = $1481.544- $1000 = $481.544

Formula of simple interest : SI =\frac{P \times R \times T}{100}

Substitute the values :

SI =\frac{1000 \times 14 \times 3}{100}

SI =420

So, Simple interest = $420

Compound interest - Simple interest

= $481.544- $420

= $61.544

So, Compound Interest is $61.544 more than simple interest.

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3 years ago
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Step-by-step explanation:

3450 - 2300 = 1150

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