What is $25,000 at 8% for 5 years?
1 Answer
Explanation:
Although there is no context, there is no mention of "compounding" and annuities (words like "monthly payment" indicates an annuity). Therefore, the only formula we can use is
=> Where
=> Where
=> Where
=> Where
#I=P*R*T#
#I=25000 xx 0.08 xx 5#
#I=10000#
Now we add the interest to the deposited principal to get the total.
#T=P+I#
#T=25000+10000#
#T=35000#
Therefore, after
Hope this helps :)