Answer:
The balance in the account after 20 years will be $11280.
Step-by-step explanation:
This is a simple interest problem.
The simple interest formula is given by:
[tex]E = P*I*t[/tex]
In which E are the earnings, P is the principal(the initial amount of money), I is the interest rate(yearly, as a decimal) and t is the time.
After t years, the total amount of money is:
[tex]T = E + P[/tex].
In this problem
We want to find T, when [tex]P = 6000, I = 0.044, t = 20[/tex]
The first step is find the earnings due to interest. So
[tex]E = P*I*t = 6000*0.044*20 = 5280[/tex]
Adding to the principal to find the balance
[tex]T = E + P = 5280 + 6000 = 11280[/tex]
The balance in the account after 20 years will be $11280.
