Mrs Martin deposits $2,350 in a money market account. Her account earns an interest rate 18% if she does not deposit or withdraw any money from the account how much will mrs Martin have in the account at the end of six months

Question

Mathematics

Nina Obrien

27 August, 07:23

Mrs Martin deposits $2,350 in a money market account. Her account earns an interest rate 18% if she does not deposit or withdraw any money from the account how much will mrs Martin have in the account at the end of six months

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Cobweb · Answer 1

Answer: $2,561.50

(I = A - P = $211.50)

Equation:

A = P (1 + rt)

Calculation:

First, converting R percent to r a decimal

r = R/100 = 18%/100 = 0.18 per year.

Solving our equation:

A = 2350 (1 + (0.18 * 0.5)) = 2561.5

A = $2,561.50

The total amount accrued, principal plus interest, from simple interest on a principal of $2,350.00 at a rate of 18% per year for 0.5 years is $2,561.50.