Math  /  Algebra

Question\begin{tabular}{|c|} \hline Compound Interest Applications \\ \hline Solve the following compound interest problems. Round your results to the nearest cent as needed. \\ \hline \begin{tabular}{l} Michael invests $3000\$ 3000 for 3 years at an interest rate of 6%6 \% compounded quarterly. Determine the interest he will earn at the end of 3 years. \\ Michael will earn $184.09×\$ 184.09 \times in interest on his investment. \\ dollars \end{tabular} \\ \hline \begin{tabular}{l} Maureen takes out a loan with a compound interest rate of 14%14 \%. If Maureen borrows $4000\$ 4000 for 11 years compounded monthly, how much interest will she pay at the end of 11 years? \\ Maureen will pay back \ \square$ in interest on her loan. \\ dollars \end{tabular} \\ \hline \end{tabular}

Studdy Solution
Calculate the final amount for Maureen's loan: A = 4000(1.011666667)^132 A = 4000 * 4.5771675 A = $18308.67
Now, calculate the interest paid: Interest = Final Amount - Principal Interest = 18308.67 - 4000 Interest = $14308.67
Rounding to the nearest cent: Interest = $14308.67
Maureen will pay back $14308.67 in interest on her loan.

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