document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=363822>Question 363822</A>: <I><SPAN STYLE=\"word-break: break-all;\"> $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? </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #259496 by </B><A HREF=/tutors/aboutme.mpl?userid=penguin_129><B>penguin_129(5)</B></A><img src=\"/images/stars/iconNewId_16x16.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=penguin_129><IMG SRC=http://www.algebra.com/images/aboutme-small.gif BORDER=0 alt=\"About Me\" VALIGN=MIDDLE></A>&nbsp;<IMG SRC=http://www.algebra.com/images/nopicture.jpg><BR>You can <A HREF=\"/cgi-bin/embed-solution.mpl?show=1&solution=259496\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> We use the formula for compound interest with P = 40,000 ; r = 5% = 0.05 ; m = 1 and t = 7.\r<BR>\n" );
document.write( "\n" );
document.write( "The amount of the money in the account after 7 years:\r<BR>\n" );
document.write( "\n" );
document.write( "     A = P * ( 1 + r/m )^(t*m)<BR>\n" );
document.write( "       <BR>\n" );
document.write( "       = 40,000 * ( 1 + .05/1 )^(7*1)<BR>\n" );
document.write( "       <BR>\n" );
document.write( "       = $56,284<BR>\n" );
document.write( "    </SPAN>\n" );
document.write( "</TD></TR></TABLE>\n" );