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Moeallen31
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Determine amount of investment if $400 is invested at a annual interest rate of 7.25% for 7 Years round to nearest penny. I'm going to post my formula someone correct me if wrong please?

Verified Answer :

Aliwohaish12

A=p(1+i)^n
A=400(1+0.0725)^7=652.89

Answer:

The answer is $682.80

Step-by-step explanation:

P = $400

rate = 7.25 or 0.0725

time = 7 years

n = 1

Compound interest formula is : \(P(1+\frac{r}{n})^{nt}\)

Here n = 1

So, we will simply take \(P(1+r)^{t}\)

Putting values in the formula we get,

\(400(1+0.0725)^{7}\)

400(1.632) = $652.80

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