Solution - Compound interest (basic)

29790.11

29790.11

Step-by-step explanation

Use $A = P {(1 + r / n)}^{(n t)}$ with $P = 2, 434$ , $r = 11 %$ , $n = 1$ , $t = 24$ .

Compute period rate and exponent: $\frac{r}{n} = 0.11$ , $n t = 24$ , so the growth factor is $12.2391565792$ .

Multiply principal by growth factor: $2, 434$ × $12.2391565792$ = $29790.11$ .

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.