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3 years ago

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Calculate the compound amount. Use the compound amount formula and a calculator. (Round your answer to two decimal places.) P =

$1100, r = 9% compounded semiannually, t = 14 years

1 answer:

Julli [10]3 years ago

5 0

Answer:

The compound amount is $303.03 .

Explanation:

Formula for compound interest:

$A=P\times (1+\frac{R}{n})^{tn})$

Principle amount = $1100

Rate of the interest compounded semiannually :

= R = 9% = 0.09

Number of times interest compounded, n = $\frac{12}{6}=2$

(semi means two times in a year)

Time period = T = 14

$A=\$1100\times (1+\frac{0.09}{2})^{2\times 14}=\$303.0310\approx \$303.03$

The compound amount is $303.03 .

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