Jake is saving up money to buy a car. Jake puts 8,000.00 into an account which earns 6% interest, compounded annually. How much will he have in the account after 10 years?

Solution

Jake is saving up money to buy a car. Jake puts 8, 000.00 into an account which earns 6% interest, compounded annually. How much will he have in the account after 10 years?

Solution

Amount : 14326.78

Solution steps

Translate the problem into an equation:

A = 8000 (1 + \frac{0.06}{1})^{1 \cdot 10}

8000 (1 + \frac{0.06}{1})^{1 \cdot 10} = 14326.78157 \dots

Round to the nearest hundredth:

14326.78

Amount : 14326.78

Popular Examples

Suppose 5,000 is invested at 6% compounded continuously. What will the accumulated amount be after 3 years?if joe drives 50mph for 0.5 hours and then 60mph for 1.5 hours, then how far did he drive if two consecutive numbers add up to 49, find the odd number in those two numbers The radius of a circle is 14 cm. Find its area in terms of pipi.A teacher is five times as old as his student. The sum of their ages is 42. Determine the ages of the teacher and the student by setting up and solving a pair of simultaneous equations.