Question

$1972 invested for 12 years at 4% compounded
quarterly

Answer 1

F= $3179.31

Explanation:

`F=P(1+i)^(n)`

Here

F= future value after 12 year

P = present value

i = interest

n= number compound on money

So P =$1972 i= 4% and n = 12 x 4= 48

Here as it is compounded quarterly so i= 4%/4=1%=0.01

`F=1972(1+0.01)^(48)`

`F=1972(1.01)^(48)`

`F=1972(1.61)`

F= $3179.31