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Earnest invests 200 in abank that guarantees 4 percent interest per year How much interest will he make in 6 years?
Wiki User
∙ 14y ago
Interest compounded annually is calculated by the following formula:
I = P x (1+r)^t - P
where I is the amount of interest, P is the principal investment amount, r is the annual interest rate expressed as a decimal, and t (for time) is the number of years. If "- P" is removed from the right hand side, then you get the new total amount, instead of just the interest paid.
For your problem,
I = $200 x (1 + 0.04)^6 - $200 = $200 x 1.2653 - $200 = $253.06 - $200 = $53.06
Wiki User
∙ 14y ago
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How long will it take Mr Books to earn 675 in interest if he invests 4500 at an annual rate of 5 percent?
Assuming the interest is NOT compound - 3 years !
How much interest Alfred will you receive if Alfred invests 4000 at 5 percent simple interest for 5 years?
40 x 5 x 5 = 1000
How many years will it take to reach 18600 if Tina invests 1000 in an account that pays 6.5 percent interest?
9.85 years, approx.
Ruiz invests 55 at a simple interest rate of 4 percent How much interest will he earn after 5 years?
Use the equation I= Prt P= Principal amount(starting)r= Rate as a decimalt=timeI = (55)(0.04)(5)= 11Therefore, he will earn $11 in interest after 5 years.
Matthew invests 1000 at 8 percent compounded annually for 2 years Find the compound interest?
Total after 2 years = 1000*(1.08)2 = 1000*1.1664 =1166.40 So interest = Total - Inirial capital = 1166.40 -1000 = 166.40
Invests 2500 at 3.5 percent annual compouned monthly how much money will she have after 4 years?
Total (compound interest) = principal x (rate+ 1)^time, so plug in. 2500 x (1.035)^48 = 13033.9725. You can round this to 13,033.97
John invests 10000 for two years at 10 percent compounded annually How much will John have after the two years?
12100
John invests 10000 for three years at 10 percent compounded annually How much will John have after the three years?
13310
How much is 3 percent interest on 150000?
3 percent interest on 150000 is 4500.
What is 10 percent interest of 999?
Interest is 99.9
How musch is an interest on a 2.5 billion dollar loan?
It depend on the interest of the loan some have a 0 percent interest all the way up to a 0.3 percent interest!
20000.00 loan for 50 days at 6 percent interest?
The answer is 1200.00 dollars in interest on that loan of 20000.00 for 50 days at 6 percent interest.
