# If you say 5000 at 85% interest rate for 10 years compounded annually how much will you have at the end of the 10th year?

$2347941.588$

#### Explanation:

Total amount at the end of $n = 10$th year compounded annually on principle amount $P = 5000$ at interest rate r=85% is given by following

$= P {\left(1 + \frac{r}{100}\right)}^{n}$

$= 5000 {\left(1 + \frac{85}{100}\right)}^{10}$

$= 5000 {\left(1.85\right)}^{10}$

$= 2347941.588$