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Solution - Compound interest (basic)

119745.17
119745.17

Other Ways to Solve

Compound interest (basic)

Step-by-step explanation

1. Set up formula

Use A=P(1+r/n)(nt) with P=11,052, r=10%, n=1, t=25.

2. Compute growth factor

Compute period rate and exponent: rn=0.1, nt=25, so the growth factor is 10.8347059434.

3. Evaluate final amount

Multiply principal by growth factor: 11,052 × 10.8347059434 = 119745.17.

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