Answer:
$79,106
Explanation:
This is a simple interest problem since Rosina plans on saving $2000 each year and expects to earn 6.9%.
interest earned on savings=P×i×n
where:
P=Principle: $2000
i=interest rate; 6.9/100=0.069
n=term of the loan; 37 years
interest earned on savings= 2000×0.069×37=$5106
Each year Rosina saves $2000 per year. In 37 years, Rosina would have saved a total of 2000×37=$74000
Adding $74000 to the interest gained on savings $5106, the total amount Rosina will have is $79,106
