For a loan of $2,000 with a 4% annual interest rate compounded annually for 3 years, what is the amount of interest?*$249.73$250$249.60$240

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For a loan of $2,000 with a 4% annual interest rate compounded annually for 3 years, what is the amount of interest?*$249.73$250$249.60$240
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Solution 1

To calculate the amount of interest for a loan compounded annually, you can use the formula for compound interest which is A = P(1 + r/n)^(nt).

Here, P = principal amount (the initial amount of money) = $2000 r = annual interest rate (in decimal) = 4/100 = 0.04 n = number of times that interest i Knowee AI StudyGPT is a powerful AI-powered study tool designed to help you to solve study prob

Knowee AI StudyGPT is a powerful AI-powered study tool designed to help you to solve study problem.
Knowee AI StudyGPT is a powerful AI-powered study tool designed to help you to solve study problem.
Knowee AI StudyGPT is a powerful AI-powered study tool designed to help you to solve study problem.
Knowee AI StudyGPT is a powerful AI-powered study tool designed to help you to solv

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