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Determine the accumulated value of P2,000.00 in 5 years it is invested at 11% compounded quarterly.

User Ixaxaar
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Final answer:

The student's question involves calculating the accumulated value of P2,000.00 invested at 11% interest compounded quarterly over 5 years using the compound interest formula.

Step-by-step explanation:

The student is asking about the accumulated value of an investment of P2,000.00 for 5 years with an interest rate of 11% compounded quarterly. To compute this, we use the compound interest formula: A = P(1 + r/n)^(nt), where A is the amount of money accumulated after n years, including interest, P is the principal amount, r is the annual interest rate (decimal), n is the number of times that interest is compounded per year, and t is the time the money is invested for in years.

Your calculation would look like this: A = 2000(1 + 0.11/4)^(4*5). When you calculate this, it will give you the total amount after 5 years.

User Badfilms
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