Solution - Compound interest (basic)

49638.94

49638.94

Step-by-step explanation

Use $A = P {(1 + r / n)}^{(n t)}$ with $P = 8, 928$ , $r = 10 %$ , $n = 1$ , $t = 18$ .

Compute period rate and exponent: $\frac{r}{n} = 0.1$ , $n t = 18$ , so the growth factor is $5.5599173135$ .

Multiply principal by growth factor: $8, 928$ × $5.5599173135$ = $49638.94$ .

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.