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Fed [463]
2 years ago
10

future value of 10% savings from earnings of 36000 earns 6.25% annual interest compounded quarterly for 15 years​

Mathematics
1 answer:
hoa [83]2 years ago
7 0

without further ado

10% of 36000 is simply 3600, we chopped a "0" off of it hmmm, ok so

~~~~~~ \textit{Compound Interest Earned Amount} \\\\ A=P\left(1+\frac{r}{n}\right)^{nt} \quad \begin{cases} A=\textit{accumulated amount}\\ P=\textit{original amount deposited}\dotfill &\$3600\\ r=rate\to 6.25\%\to \frac{6.25}{100}\dotfill &0.0625\\ n= \begin{array}{llll} \textit{times it compounds per year}\\ \textit{quarterly, thus four} \end{array}\dotfill &4\\ t=years\dotfill &15 \end{cases} \\\\\\ A=3600\left(1+\frac{0.0625}{4}\right)^{4\cdot 15}\implies A=3600(1.015625)^{60}\implies A\approx 9126.53

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