You borrow $600.You pay 5% interest compounded annually. How much do you owe at the end of 4 years?

Question

asked Feb 5, 2018 31.0k views

1 Answer

Krypton · Answer 1 · 2018-02-11T17:40:22+0000

Answer:

$729.30

Explanation:

Each year, the amount owed is multiplied by 1.05. At the end of 4 years, it will be ...

$600×1.05⁴ ≈ $729.30