Question

Need help with this ASAP it’s due in 10 minutes

Answer 1

Explanation:

Formula to be used,

A =
`P(1+(r)/(n))^(nt)`

Here, A = Final amount

P = Principal amount

r = rate of interest

n = Number of compounding (In a year)

t = Duration of investment (In years)

Question (5)

P = $4250

r = 0.015

n = 4

t = 3 years

A =
`4250(1+(0.015)/(4))^(4* 3)`

A =
`4250(1.00375)^(12)`

A = $4445.24

Part (C)

1). P = $6000

r = 0.03

n = 2

t = 10 years

A =
`6000(1+(0.03)/(2))^(2* 10)`

=
`6000(1.015)^(20)`

= $8081.13

2). P = $9000

r = 0.05

n = 2

t = 8 years

A =
`9000(1+(0.05)/(2))^(2* 8)`

=
`9000(1.025)^(16)`

= $13360.55