👤
Answered

Find the present value, using the future value formula and a calculator. Future value is $6,000 in two years at 9.5% simple interest. Round your answer to the nearest cent (two decimal places). Enter only the number without $ sign.

Answer :

[tex]~~~~~~ \textit{Simple Interest Earned Amount} \\\\ A=P(1+rt)\qquad \begin{cases} A=\textit{accumulated amount}\\ P=\textit{original amount deposited}\dotfill & \$6000\\ r=rate\to 9.5\%\to \frac{9.5}{100}\dotfill &0.095\\ t=years\dotfill &2 \end{cases} \\\\\\ A=6000[1+(0.095)(2)]\implies A=6000(1.19)\implies A=7140[/tex]

Go Teaching: Other Questions