To prepare for retirement, Chris invests $15,000 with a simple interest rate of 4.8%. Find the final amount of Chris’s investment if he invests this amount for the next 30 years. Round the answer to two decimal places as needed.(1 point)
The final amount of Chris’s investment is $
.
The formula for calculating simple interest is:
I = P * r * t
Where:
I = interest
P = principal amount (initial investment)
r = interest rate
t = time (in years)
Let's calculate the interest first:
I = 15,000 * 0.048 * 30
I = 21,600
Now let's calculate the final amount:
Final amount = principal + interest
Final amount = 15,000 + 21,600
Final amount = 36,600
Rounded to two decimal places, the final amount of Chris's investment is $36,600.