SOLUTION: Use the compound interest formula to determine the interest earned in the given period. P=$4000 at 6.5% compounded annually for 8 years Please explain, thanks!

Algebra ->  Finance -> SOLUTION: Use the compound interest formula to determine the interest earned in the given period. P=$4000 at 6.5% compounded annually for 8 years Please explain, thanks!      Log On


   

Question 1000523: Use the compound interest formula to determine the interest earned in the given period.
P=$4000 at 6.5% compounded annually for 8 years
Please explain, thanks!
Answer by rfer(16322) About Me  (Show Source):
You can put this solution on YOUR website!
FV=4000(1.065)^8
FV=4000(1.655)
FV=10956.00
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10956-4000=6956 interest