Question

use the formula a=p(1+r/n)nt to find the compound interest account . zakk deposited $5600.0in an account which compounded 1.9%quarterly and left there for ten years. what was the amount in the account at the end of ten years,?​

Answer 1

`A=\$6,768.75`

Explanation:

we know that

The compound interest formula is equal to

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

where

A is the Final Investment Value

P is the Principal amount of money to be invested

r is the rate of interest in decimal

t is Number of Time Periods

n is the number of times interest is compounded per year

in this problem we have

`t=10\ years\\ P=\$5,600\\ r=0.019\\n=4`

substitute in the formula above

`A=\$5,600(1+(0.019)/(4))^(4*10)`

`A=\$5,600(1.00475)^(40)=\$6,768.75`