SOLUTION: 7. Due to a worldwide recession, Jennifer’s financial advisor informs her the account is no longer growing after 4 years. He recommends she move her money to an account that is

Question 1154339: 7. Due to a worldwide recession, Jennifer’s financial advisor informs her the account is no
longer growing after 4 years. He recommends she move her money to an account that is more
conservative and earns only 4% annually. Determine the amount in Jennifer’s investment account
after 4 years(using the $50,000 investment), rounding to the nearest dollar. It may be helpful to
create a table. (
Found 2 solutions by rothauserc, ikleyn:
Answer by rothauserc(4718) (Show Source): You can put this solution on YOUR website!
This looks like a simple interest problem
:
total interest(i) = prt, where p is the principal, r is the annual interest, t is time in years
:
i = 50000 * 0.04 * 4 = 8000
:
After 4 years, total amount is $58,000
:
If the problem meant to say that interest is compounded annually, then
:
Amount(A) = Principal(P) * (1 +r/n)^nt, where A is the total amount, P is the principal invested, n is the number of times the interest is compounded yearly, t is the time in years
:
For this problem, P = 50000, r = 0.04, n = 1, t = 4
:
A = 50000 * (1 +0.04)^4 = 58492.928 is approximately $58,493.
:
Answer by ikleyn(52756) (Show Source): You can put this solution on YOUR website!
.

It is fantastically BAD STYLE writing Math problem (!)

It is the same as if a person, who never played violin, came to a scene to perform in front of the public.

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