Solution - Compound interest (basic)

23984.88

23984.88

Step-by-step explanation

Use $A = P {(1 + r / n)}^{(n t)}$ with $P = 17, 847$ , $r = 3 %$ , $n = 1$ , $t = 10$ .

Compute period rate and exponent: $\frac{r}{n} = 0.03$ , $n t = 10$ , so the growth factor is $1.3439163793$ .

Multiply principal by growth factor: $17, 847$ × $1.3439163793$ = $23984.88$ .

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.