SOLUTION: Write a compound interest function to model each situation. Then find the balance after the given number of years. $500 invested at a rate of 2.5% compounded annually; 10 years.

Algebra ->  Functions -> SOLUTION: Write a compound interest function to model each situation. Then find the balance after the given number of years. $500 invested at a rate of 2.5% compounded annually; 10 years.       Log On


   

Question 876627: Write a compound interest function to model each situation. Then find the balance after the given number of years. $500 invested at a rate of 2.5% compounded annually; 10 years.
thanks show all work please !!
Answer by ewatrrr(24785) About Me  (Show Source):
You can put this solution on YOUR website!
 

Hi

In General 

A%28t%29+=+P%281%2Br%2Fn%29%5E%28nt%29

A = Accumulated Amount

P= principal = 500

r= annual rate = .025

n= periods per year = 1 (annually)

t= years = 10

A%28t%29+=+500%281.025%29%5E%2810%29