if you'd show your work, we could tell whether you were confused or not.
After 3 years, Roman would have
500*1.04^3 = 562.43
so, he earned $62.43
No way to tell how you got your answer. Way too high
Roman saves $500 each year in an account earning interest at an annual rate of 4% compounded annually. How much interest will the account earn at the END OF THE FIRST THREE YEARS?
I think I am confusing simple and compounded interest. The answer I got was $123.23
Am I waaaaaay off and over thinking this??? TIA for your help!!!
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the answer is 1440 because it is asking for the earning not the interest it is the answer because 4 percent of 500 is 20 and 20 minus 500 is 480 and 480 * 3 is equally to 1440.
1 answer