2. Sam has $5000 to invest. She has found a place
where she can earn 5%, compounded annually.
How much is her investment worth after 5
Compound Interest formula : A = P ( 1+ n
- A is the amount you have at the end of your
- P is the amount you invest
- r is the rate as a decimal
- t is the time in years
- n is the number of times interest is compounded
in a year
4. Byron has borrowed $10000 from Erick. Erick is
charging him an interest rate of 3.5%,
compounded annually. If Byron pays Erick back
after 2 months, how much will he pay?