Answer:
Given:
P=950
r=0.07
t=8
F=950(1.07)^8
= 1632.28 (total amount)
Interest = total amount - principal
=1632.28 - 950
=682.28
Step-by-step explanation:
The formula is:
Future value = accumulated amount, F = P(1+r)^t
P=principal
r=annual interest rate [compounded annually]
t=number of years of loan