Question

Last year, Kareem opened an investment account with
$6500
. At the end of the year, the amount in the account had decreased by
7%
.
(a) Fill in the blank to write the year-end amount in terms of the original amount. Write your answer as a decimal.

Year-end=amount×Originalamount


(b) Use your answer in part (a) to determine the year-end amount in Kareem's account.
Year-endamount:$

Answer 1

(a) Year-end = amount × (1 - 0.07) = amount × 0.93

(b) Year-end amount = $6500 × 0.93 = $6,045