Question

Hi, i need some help with this one, thanks so much in advance. :)

Answer 1

This is a question on compound interest

In this case, it was compounded daily for 8years.

The formula to be used is one for calculating the amount of compound interest.

`\begin{gathered} A=P(1+(r)/(n))^(nt) \\ \text{where A = final amount} \\ P=pr\text{incipal = \$50,000} \\ r=\text{rate= 4.1 \%}=0.041 \\ n=n\text{umber of times }the\text{ interest is compounded per year = 365 times} \\ t=n\text{umber of years}=8\text{years} \end{gathered}`
`\begin{gathered} A=50,000(1+(0.041)/(365))^(365*8) \\ A=50000(1+0.00011233)^(2920) \\ A=50000*(1.00011233)^(2920) \\ A=50000*1.3882 \\ A=69,410\text{ dollars} \end{gathered}`

Therefore, the money in the account after 8years to the nearest ten dollars is $69,410