$15,000 at 15% compounded annually for 5 years
A. $28,500.00
0
B. $30,170.36
C. $17.250.00
ОО
D. $26,250.45

Answers

Answer 1

Answer:

p=$15000

R=15%

t=5years

compound amount CI=?

Step-by-step explanation:

we have

CI=p(1+R/100)^t=$15000(1+15/100)^5=$15000×1/15^5=$30170.35
Answer 2

The total amount of $15,000 at 15% compounded annually for 5 years will be $30,170.36 so option (B) is correct.

What is compound interest?

Compound interest is applicable when there will be a change in principle amount after the given time period.

The rate at which compound interest accrues depends on the frequency of compounding.

For instance, if you offer someone $500 at a rate of 10% annually, $500 will be considered your principal sum. After a year, the interest will be $50, making the principle amount $550. Moving forward, the interest will be $550 rather than $500.

Given

Principle amount = $15000

Rate of interest = 15%

The time period T = 5 years.

Compound interest formula

A = P  [tex][ 1 + R/100 ]^{T}[/tex]

A = 15000 [tex][ 1 + 15/100 ]^{5}[/tex]

A = $30,170.36 hence, the total amount after 5 year will be $30,170.36.

For more information about compound interest

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