can i please get the answer

Question

Suppose that $2000 is loaned at a rate of 18%, compounded annually. Assuming that no payments are made, find the amount owed after 3 years.Do not round any intermediate computations, and round your answer to the nearest cent.

$_________

Answer 1

Since your compounding is annual, we can use the slightly simplified formula

A = A_o(1+r)^t

Where A is the final amount, A_o is the original amount, and t is time in years.

Plug in the appropriate values:

A = 2000(1 + 0.18)³

A = 2000 ( 1.18)³

Use your calculator to arrive at

A = 3286.064, which would round to $3,286.06

Best wishes!