Question

You deposited $10,000 into a savings account that compounds quarterly. The account has an interest rate of 3%. What would be the value after 30 years?

Answer 1

$24272.62

Explanation:

Given data

Principal= $10,000

Rate= 3%

Time = 30 years

The expression for the compound interest is given as

A= P(1+r)^t

Substitute

A=10000(1+0.03)^30

A=10000(1.03)^30

A=10000*2.4272

A= 24272.62

Hence the final Amount A=$24272.62