Chelsea invested %5600 at a rate of 3.6% compounded quarterly. Write a compound interest function to model the situation. Then f

Question

Leokris [45]

3 years ago

15

Chelsea invested %5600 at a rate of 3.6% compounded quarterly. Write a compound interest function to model the situation. Then f

ind the balance after 6 years.

Mathematics

1 answer:

grigory [225] · Answer 1 · 2021-12-27T16:33:41+03:00

grigory [225]3 years ago

5 0

3.6% compounded quarterly=.036/4=0.009 per period
FV=5600(1+.009)^4y where FV=future value, and y is time, in years. So:
FV(6)=5600(1.009)^4(6)=5600(1.009)^24=$6943.46
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