Asked by Michelle
How much interest is earned on 20,000 at 6% for 2 yrs compounded annually?
Answers
Answered by
Henry
P = Po(1+r)^n.
r = 0.06 = APR expressed as a decimal.
n = 1comp/r * 2yrs = 2 Compounding periods.
P = 20000(1.06)^2 = $22472.00.
r = 0.06 = APR expressed as a decimal.
n = 1comp/r * 2yrs = 2 Compounding periods.
P = 20000(1.06)^2 = $22472.00.
There are no AI answers yet. The ability to request AI answers is coming soon!
Submit Your Answer
We prioritize human answers over AI answers.
If you are human, and you can answer this question, please submit your answer.