Question

You deposit $8000 into a savings account that earns 6% interest compounded quarterly.

a) Write a function that represents the balance after t years.
y =
b) What is the balance after 3 years? (round to the nearest penny)
y = $

Answer 1

a) A = 8000(1 + .06/4)^4t

b) $9,564.95

Explanation:

b) A = 8000(1 + .06/4)^12