7. -/1 points 0/5 submissions used\nfind the future value (in dollars) of an 18 - month investment of $4,700…

7. -/1 points 0/5 submissions used\nfind the future value (in dollars) of an 18 - month investment of $4,700 into a simple interest rate account that has an annual simple interest rate of 4.7%. (see example 4 in this section.)\n$ \nshow my work (optional)\nsubmit answer\nview previous question question 7 of 10 view next question

7. -/1 points 0/5 submissions used\nfind the future value (in dollars) of an 18 - month investment of $4,700 into a simple interest rate account that has an annual simple interest rate of 4.7%. (see example 4 in this section.)\n$ \nshow my work (optional)\nsubmit answer\nview previous question question 7 of 10 view next question

Answer

Explanation:

Step1: Convert months to years

18 months = $\frac{18}{12}=1.5$ years

Step2: Use simple - interest formula

The simple - interest formula is $A = P(1 + rt)$, where $P$ is the principal amount, $r$ is the annual interest rate (in decimal form), and $t$ is the time in years. Here, $P = 4700$, $r=0.047$ (since $4.7%=0.047$), and $t = 1.5$. $A=4700\times(1 + 0.047\times1.5)$

Step3: Calculate the value inside the parentheses

$0.047\times1.5 = 0.0705$ $1+0.0705 = 1.0705$

Step4: Calculate the future value

$A = 4700\times1.0705=5031.35$

Answer:

$5031.35$