To solve this problem, we will use the formula for compound interest, which is:

A = P (1 + r/n)^(nt)

Where:
A = the amount of money accumulated after n years, including interest.
P = the principal amount (the initial amount of money)
r = annual interest rate (in decimal)
n = number of times that interest is compounded per year
t = time the money is invested for in years

In this case, the loaned amount (P) is $2000, the annual interest rate (r) is 15% or 0.15 in decimal, the interest is compounded annually so n is 1, and the time (t) is 5 years.

Substituting these values into the formula, we get:

A = 2000 (1 + 0.15/1)^(1*5)
A = 2000 (1 + 0.15)^5
A = 2000 * 1.15^5

Now, calculate the value of 1.15^5, then multiply the result by 2000 to get the total amount owed after 5 years.

Remember to round your final answer to the nearest cent.

Question

To solve this problem, we will use the formula for compound interest, which is:

A = P (1 + r/n)^(nt)

Where:
A = the amount of money accumulated after n years, including interest.
P = the principal amount (the initial amount of money)
r = annual interest rate (in decimal)
n = number of times that interest is compounded per year
t = time the money is invested for in years

In this case, the loaned amount (P) is $2000, the annual interest rate (r) is 15% or 0.15 in decimal, the interest is compounded annually so n is 1, and the time (t) is 5 years.

Substituting these values into the formula, we get:

A = 2000 (1 + 0.15/1)^(1*5)
A = 2000 (1 + 0.15)^5
A = 2000 * 1.15^5

Now, calculate the value of 1.15^5, then multiply the result by 2000 to get the total amount owed after 5 years.

Remember to round your final answer to the nearest cent.

Knowee AI · Accepted Answer

To solve this problem, we will use the formula for compound interest, which is:

A = P (1 + r/n)^(nt)

Where:
A = the amount of money accumulated after n years, including interest.
P = the principal amount (the initial amount of money)
r = annual interest rate (in decimal)
n = number of times that interest is compounded per year
t = time the money is invested for in years

In this case, the loaned amount (P) is $2000, the annual interest rate (r) is 15% or 0.15 in decimal, the interest is compounded annually so n is 1, and the time (t) is 5 years.

Substituting these values into the formula, we get:

A = 2000 (1 + 0.15/1)^(1*5)
A = 2000 (1 + 0.15)^5
A = 2000 * 1.15^5

Now, calculate the value of 1.15^5, then multiply the result by 2000 to get the total amount owed after 5 years.

Remember to round your final answer to the nearest cent.

Suppose that $2000 is loaned at a rate of 15%, compounded annually. Assuming that no payments are made, find the amount owed after 5 years.Do not round any intermediate computations, and round your answer to the nearest cent.$

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