question\n3400 dollars is placed in an account with an annual interest rate of 8.25%. how much will be in…

question\n3400 dollars is placed in an account with an annual interest rate of 8.25%. how much will be in the account after 25 years, to the nearest cent?\nanswer attempt 1 out of 2\nsubmit answer

question\n3400 dollars is placed in an account with an annual interest rate of 8.25%. how much will be in the account after 25 years, to the nearest cent?\nanswer attempt 1 out of 2\nsubmit answer

Answer

Explanation:

Step1: Identify the compound - interest formula

The compound - interest formula is (A = P(1 + r)^{t}), where (P) is the principal amount, (r) is the annual interest rate (in decimal form), and (t) is the number of years. Given (P=$3400), (r = 8.25%=0.0825), and (t = 25) years.

Step2: Substitute the values into the formula

Substitute (P = 3400), (r=0.0825), and (t = 25) into the formula (A=P(1 + r)^{t}). We get (A = 3400\times(1+0.0825)^{25}). First, calculate (1 + 0.0825=1.0825). Then, find ((1.0825)^{25}). Using a calculator, ((1.0825)^{25}\approx7.41057).

Step3: Calculate the final amount

Multiply (P) by ((1 + r)^{t}). (A=3400\times7.41057). (A = 3400\times7.41057=25195.938).

Answer:

(25195.94)