Using the formula in model 1, choose the correct answers for the new balance and amount of interest earned in the following compound interest problem. $1,050 at 6%, for 25 years, compounded annually. Total Amount = $ Interest Amount =$
To find the total amount The formula is A=p (1+r)^t A total amount? P present value 1050 R interest rate 0.06 T time 25 years A=1,050×(1+0.06)^(25)=4,506.46
