Question

Jonathon deposits $11,000 in an account paying 6% compounded semiannually. Find the interest earned on the investment after 10 years.

$19,867.22

$8,954.20

$8,867.22

$19,954.20

Answer 1

Total = Principal * (1 + 6%/2)^2*years

Total = 11,000 * (1.03)^2*10

Total = 11,000 * (1.03)^20

Total = 11,000 * 1.8061112347

Total = 19,867.22

Explanation: