an amount of $27,000 is borrowed for 13 years at 6.75% interest, compounded annually. assuming that no…

Explanation:

Step1: Identify compound - interest formula

The compound - interest formula is $A = P(1 + r)^t$, where $A$ is the amount of money accumulated after $n$ years, including interest, $P$ is the principal amount (the initial amount of money), $r$ is the annual interest rate (in decimal form), and $t$ is the number of years the money is invested or borrowed for.

Step2: Convert the interest rate to decimal

The annual interest rate $r=6.75% = 0.0675$. The principal amount $P = 27000$ and the number of years $t = 13$.

Step3: Substitute values into the formula

$A=27000\times(1 + 0.0675)^{13}$. First, calculate $(1 + 0.0675)^{13}$. Using a calculator, $(1+0.0675)^{13}\approx2.3777$. Then, $A = 27000\times2.3777=64207$.

Answer:

$64207$