approximate the amount in the account after x years if c=$250, r=2.0%, and x=19 years..
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You need to define whether the interest is simple or compound.
Compound interest: A = P*(1+i)^n
simple interest: A = P*(1+ni)
where A is the amount you end up with, P is the principal you start with, i is the interest rate per period, and n is the number of periods. (forgive the grammar).
So...
Simple interest: A = 250*(1+0.02*19) = 345
Compound interest A = 250*(1+0.02)^19 = 364.20
Compound interest: A = P*(1+i)^n
simple interest: A = P*(1+ni)
where A is the amount you end up with, P is the principal you start with, i is the interest rate per period, and n is the number of periods. (forgive the grammar).
So...
Simple interest: A = 250*(1+0.02*19) = 345
Compound interest A = 250*(1+0.02)^19 = 364.20
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250*2%=5(19)=95$+250$=345$
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amount of interest you will receive in 19 years:
250 * .02 * 19 = 95
250+95 = 345
250 * .02 * 19 = 95
250+95 = 345