Solution - Compound interest (basic)

25242.32

25242.32

Step-by-step explanation

Use $A = P {(1 + r / n)}^{(n t)}$ with $P = 10, 826$ , $r = 8 %$ , $n = 1$ , $t = 11$ .

Compute period rate and exponent: $\frac{r}{n} = 0.08$ , $n t = 11$ , so the growth factor is $2.3316389971$ .

Multiply principal by growth factor: $10, 826$ × $2.3316389971$ = $25242.32$ .

Was this explanation helpful?

How did we do?

Learn more with Tiger

Compound interest appears in savings, loans, and investments. Understanding it builds strong financial literacy.