Question

pedro puts 200.00 into an account to use for school expenses the account earns 12% interest compounded quarterly how much will be in the account after 6 years

Answer 1

The equation for the final amount if the ineterst is compounded quarterly is,

`\begin{gathered} A=P(1+(R)/(n))^(nT) \\ \text{Here, P is the principal, R is the rate, n is the }number\text{ of times the interest is compounded,} \\ T\text{ is the }time. \end{gathered}`

Since interest is compounded quarterly, the number of times n=4.

Also, P=200, R=12%, T=6

Substitute the values in equation.

`\begin{gathered} A=200(1+(12)/(4*100))^(4*6) \\ =200(1+(12)/(400))^(24) \\ =406.56 \end{gathered}`

406.56 will be in the account after 6years.