Final answer:
The maturity value of a 9-year term deposit of $7,331.31 at 6.2% interest compounded semi-annually is approximately $12,729.02.
Step-by-step explanation:
To calculate the maturity value of a 9-year term deposit of $7,331.31 at 6.2% compounded semi-annually, we use the compound interest formula:
A = P(1 + r/n)^(nt)
where:
- P = principal amount ($7,331.31)
- r = annual interest rate (6.2% or 0.062)
- n = number of times the interest is compounded per year (2 for semi-annually)
- t = time in years (9)
Plugging in the values, we get:
A = $7,331.31(1 + 0.062/2)^(2*9)
A = $7,331.31(1 + 0.031)^(18)
A = $7,331.31(1.031)^(18)
A = $7,331.31 * (1.736)
A ≈ $12,729.02
Therefore, the maturity value of the term deposit after 9 years would be approximately $12,729.02.