Answer:
Equation:
A = P(1 + rt) = $ 2'720 interest
Step-by-step explanation:
A = $19,720.00
(I = A - P = $2,720.00)
Calculation:
First, converting R percent to r a decimal
r = R/100 = 8%/100 = 0.08 per year.
Solving our equation:
A = 17000(1 + (0.08 × 2)) = 19720
A = $19,720.00
The total amount accrued, principal plus interest, from simple interest on a principal of $17,000.00 at a rate of 8% per year for 2 years is $19,720.00 - 17000 = 2720
