Answer:
=$2739.81
Step-by-step explanation:
To find the total amount if the interest is compounded, we use the compound interest formula.
A=P(1+R/100)ⁿ
A is the amount, P- principal, is the invested amount R is the % interest rate, n is the number if periods.
If compounded semi-annually, it means we have two periods in 1 year
The rate is also divided by 2
Thus 25 years have (25×2) = 50 periods.
A= 750(1+5.25/200)⁵⁰
=750(1.02625)⁵⁰
=$2739.81
