Answer:
You will have $2,814.20 after 7 years
Step-by-step explanation:
We are given that You invest $2,000 into a savings account that gets 5% interest compounded yearly.
Principal = $2000
Rate of interest = 5% =0.05
We are supposed to find How much money will you have after 7 years?
Formula : [tex]A = P(1+r)^t[/tex]
A= Amount
P = Principal
t =time
r = rate of interest in decimals
Substitute the values in the formula :
[tex]A = 2000(1+0.05)^7[/tex]
A=2814.20
So, Option A is true
Hence You will have $2,814.20 after 7 years
