question 11, 13.1.13\npart 1 of 2\ncompute the compound amount and the interest on a loan of $10,800…

question 11, 13.1.13\npart 1 of 2\ncompute the compound amount and the interest on a loan of $10,800 compounded annually for six years at 9%. use the $1.00 future - value table or the future - value and compound - interest formula.\nclick here to view page 1 of the future - value table.\nclick here to view page 2 of the future - value table.\nclick here to view page 3 of the future - value table.\nclick here to view page 4 of the future - value table.\nthe compound amount of the loan is $ (round to the nearest cent as needed.)

question 11, 13.1.13\npart 1 of 2\ncompute the compound amount and the interest on a loan of $10,800 compounded annually for six years at 9%. use the $1.00 future - value table or the future - value and compound - interest formula.\nclick here to view page 1 of the future - value table.\nclick here to view page 2 of the future - value table.\nclick here to view page 3 of the future - value table.\nclick here to view page 4 of the future - value table.\nthe compound amount of the loan is $ (round to the nearest cent as needed.)

Answer

Explanation:

Step1: Identify the compound - interest formula

The compound - interest formula for compounded annually is $A = P(1 + r)^t$, where $A$ is the compound amount, $P$ is the principal amount, $r$ is the annual interest rate (in decimal form), and $t$ is the number of years. Given $P=$10800$, $r = 0.09$ (since $9%=0.09$), and $t = 6$.

Step2: Substitute the values into the formula

$A=10800\times(1 + 0.09)^6$. First, calculate $(1 + 0.09)^6$. $(1 + 0.09)^6=1.09^6\approx1.6771$. Then, $A = 10800\times1.6771$. $A=10800\times1.6771 = 18112.68$.

Answer:

$18112.68$