document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=872166>Question 872166</A>: <I><SPAN STYLE=\"word-break: break-all;\"> If you put $ 6,000 in a savings account that pays interest at the rate of 4 percent, compounded annually, how much will you have in five years? ( Hint: Use the future value formula.) How much interest will you earn during the five years? If you put $ 6,000 each year into a savings account that pays interest at the rate of 4 percent a year, how much would you have after five years? </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #525954 by </B><A HREF=/tutors/aboutme.mpl?userid=stanbon><B>stanbon(75887)</B></A><img src=\"/images/stars/stars-13.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=stanbon><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=525954\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> If you put $ 6,000 in a savings account that pays interest at the rate of 4 percent, compounded annually, how much will you have in five years? <BR>\n" );
document.write( "A(5) = 6000(1+0.04)^(5)<BR>\n" );
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document.write( "A(5) = 6000*1.04^5 = $7299.92<BR>\n" );
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document.write( " How much interest will you earn during the five years? <BR>\n" );
document.write( "Ans:: Interest = 7299.92-6000 = $3299.92<BR>\n" );
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document.write( "Cheers,<BR>\n" );
document.write( "Stan H.<BR>\n" );
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