Question

Find the compound amount on P16,100 for 4 years and 6 months at 10% compounded quarterly. (Round off your answer to the nearest hundreth). I need the solution po sana​. (math)​

Answer 1

`\$25,110.51`

Explanation:

we know that

The compound interest formula is equal to

`A=P(1+(r)/(n))^(nt)`

where

A is the Final Investment Value

P is the Principal amount of money to be invested

r is the rate of interest in decimal

t is Number of Time Periods

n is the number of times interest is compounded per year

in this problem we have

`t=4.5\ years\\ P=\$16,100\\ r=10\%=10/100=0.10\\n=4`

substitute in the formula above

`A=16,100(1+(0.10)/(4))^(4*4.5)`

`A=16,100(1.025)^(18)`

`A=\$25,110.51`