meredith48034
Answered

If Bailey invested Money 4 years ago with an annual interest rate of 3.275% compounded annually and it is valued at $11,260, How much money did she initially invest?​

Answer :

tramserran

Answer:  $9,898.23

Step-by-step explanation:

Compound Interest formula is:   [tex]A=P(1+r)^t[/tex]     where

  • A is the Accrued amount (total earned)
  • P is the Principal (amount initially invested)
  • r is the interest Rate (convert percent to a decimal)
  • t is the Time (number of years)

It is given that; A = 11,260    r = 3.375% (0.03275)       t = 4

    11,260         = P(1 + 0.03275)⁴

    11,260       = P

(1 + 0.03275)⁴

   9898.23    = P

Bailey invested $9,898.23 four years ago at an interest rate of 3.275% and it has a value of $11,260 today.

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