Question 1194949: Please help me solve this Simple Interest word problem:
The Otwell Company puts $18,000 per year into a sinking fund to purchase major equipment. The fund earns 7.2% interest compounded annually. Find the amount in the fund after 8 years. (Round your final answer to two decimal places.)
$
Answer by ikleyn(52781)   (Show Source):
You can put this solution on YOUR website! .
Please help me solve this Simple Interest word problem:
The Otwell Company puts $18,000 per year into a sinking fund to purchase major equipment.
The fund earns 7.2% interest compounded annually. Find the amount in the fund after 8 years.
(Round your final answer to two decimal places.)
$
~~~~~~~~~~~~~~~
This problem is not on simple interest.
It is a deep mistake/delusion to think so.
It is a typical problem on discretely compounded account.
On this subject, learn the appropriate words, terminology and solution methods from the lessons
- Compounded interest percentage problems
- Problems on discretely compound accounts
in this site.
Find there many similar solved problems.
Consider these lessons as your textbook, handbook, guide, tutorials and (free of charge) home teacher.
Happy learning ( ! )
|
|
|
