Holt Mcdougal Larson Pre-algebra: Student Edition 2012

1st Edition

ISBN: 9780547587776

Author: HOLT MCDOUGAL

Publisher: HOLT MCDOUGAL

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Question

Chapter 10.3, Problem 36E

To determine

To calculate the compound interest.

Expert Solution & Answer

Answer to Problem 36E

$8463

Explanation of Solution

Given Information: P = $8550, r = 3.5%, t = 20 years

Formula Used:Compound Interest CI= A − P, Amount A= P×(1+r100)t

Calculation:

Compound interest is the interest calculated on the principal and the interest accumulated over the previous period. It is different from the simple interest where interest is not added to the principal while calculating the interest during the next period. Compound interest finds its usage in most of the transactions in the banking and finance sectors and also in other areas as well.

Compound Interest CI= A − P, Amount A= P×(1+r100)t

Now find Amount A

P = $8550, r = 3.5%, t = 20 years

Amount A= 8550×(1+3.5100)20

So,

Amount A= 8550×(103.5100)20

So,

Amount A=$ 8550×(1.035)20

So,

Amount A=$ 8550×1.98

Hence,

Amount = $17012.69

Compound Interest CI= A − P

CI = $17012.69 - $8550

Compound Interest CI = $8462.69

Nearest Compound Interest CI = $8463

Chapter 10.3, Problem 35E

Chapter 10.3, Problem 37E

Chapter 10 Solutions

Holt Mcdougal Larson Pre-algebra: Student Edition 2012

Ch. 10.1 - Prob. 1C Ch. 10.1 - Prob. 2C Ch. 10.1 - Prob. 3C Ch. 10.1 - Prob. 1E Ch. 10.1 - Prob. 2E Ch. 10.1 - Prob. 3E Ch. 10.1 - Prob. 4E Ch. 10.1 - Prob. 5E Ch. 10.1 - Prob. 6E Ch. 10.1 - Prob. 7E

Ch. 10.1 - Prob. 8E Ch. 10.1 - Prob. 9E Ch. 10.1 - Prob. 10E Ch. 10.1 - Prob. 11E Ch. 10.1 - Prob. 12E Ch. 10.1 - Prob. 13E Ch. 10.1 - Prob. 14E Ch. 10.1 - Prob. 15E Ch. 10.1 - Prob. 16E Ch. 10.1 - Prob. 17E Ch. 10.1 - Prob. 18E Ch. 10.1 - Prob. 19E Ch. 10.1 - Prob. 20E Ch. 10.1 - Prob. 21E Ch. 10.1 - Prob. 22E Ch. 10.1 - Prob. 23E Ch. 10.1 - Prob. 24E Ch. 10.1 - Prob. 25E Ch. 10.1 - Prob. 26E Ch. 10.1 - Prob. 27E Ch. 10.1 - Prob. 28E Ch. 10.1 - Prob. 29E Ch. 10.1 - Prob. 30E Ch. 10.1 - Prob. 31E Ch. 10.1 - Prob. 32E Ch. 10.2 - Prob. 1C Ch. 10.2 - Prob. 2C Ch. 10.2 - Prob. 3C Ch. 10.2 - Prob. 1E Ch. 10.2 - Prob. 2E Ch. 10.2 - Prob. 3E Ch. 10.2 - Prob. 4E Ch. 10.2 - Prob. 5E Ch. 10.2 - Prob. 6E Ch. 10.2 - Prob. 7E Ch. 10.2 - Prob. 8E Ch. 10.2 - Prob. 9E Ch. 10.2 - Prob. 10E Ch. 10.2 - Prob. 11E Ch. 10.2 - Prob. 12E Ch. 10.2 - Prob. 13E Ch. 10.2 - Prob. 14E Ch. 10.2 - Prob. 15E Ch. 10.2 - Prob. 16E Ch. 10.2 - Prob. 17E Ch. 10.2 - Prob. 18E Ch. 10.2 - Prob. 19E Ch. 10.2 - Prob. 20E Ch. 10.2 - 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