Question 363822: $40,000 is invested at 5% interest. What is the amount of money in the account after 7 years if the interest is compounded annually? Found 2 solutions by checkley77, penguin_129:Answer by checkley77(12569) (Show Source):
You can put this solution on YOUR website! We use the formula for compound interest with P = 40,000 ; r = 5% = 0.05 ; m = 1 and t = 7.
The amount of the money in the account after 7 years:
A = P * ( 1 + r/m )^(t*m)