A loan of $ 100 at 6% is made for 3 years, compounded annually. What is the total loan value at the end of 3 years?
(a)$ 119.10 (b)$ 401.76 (c)$ 448.00 (d) $ 501.76 (e)$ 510.76
I need help with this question not asking for the answer.
You should be familiar with the amount formula
amount = principal (1+i)^n, where i is the rate per period, and n is the number of periods
here i = .06, and n = 3
amount = 100(1.06)^3 = 119.10