Answer: the future value of the investment is $53399.8
Step-by-step explanation:
We would apply the formula for determining compound interest which is expressed as
A = P(1+r/n)^nt
Where
A = total amount in the account at the end of t years
r represents the interest rate.
n represents the periodic interval at which it was compounded.
P represents the principal or initial amount deposited
From the information given,
P = $22,000
r = 6% = 6/100 = 0.06
n = 2 because it was compounded 2 times in a year.
t = 15 years
Therefore,
A = 22000(1 + 0.06/2)^2 × 15
A = 22000(1 + 0.03)^30
A = 22000(1.03)^30
A = $53399.8
