Question 1119409
f = p * (1 + r) ^ n


f is the future value
p is the present value
r is the interest rate per time period.
n is the number of time periods.


in your problem.


p = 3000
r = .09 per year.
n = 10 years.


solve for f to get f = 3000 * (1 + .09) ^ 10 = 7102.091024


i = f - p


i equals interest.
f = future value
p = present value


in your problem:


i = 7102.091024 - 3000 = 4102.091024


you can combine the two formulas into one as shown below:


i = p * (1 + r) ^ n - p