Question

Ahmed invests $1,500 at an interest rate of 4%, compounded quarterly and another $1,500 at an interest rate of 3.75%, compounded annually. How much are the investments worth in total at the end of 6 years?

Answer 1

Answer: $1904.60

Explanation:

This is 1500(1+.04/4)^24 where .04/4 is the interest rate for each compounding, or the interest rate /4, for 4 quarters.

The 24 is 4 quarters/year * 6 years

round at the end

=$1904.60

hope this helped!:)