Question

You invest $9000 with a 6% interest rate compounded semiannually. After 9 yrs, how much money is in your account?

Answer 1

$\bf \qquad \textit{Compound Interest Earned Amount} \\\\ A=P\left(1+\frac{r}{n}\right)^{nt} \quad \begin{cases} A=\textit{accumulated amount}\\ P=\textit{original amount deposited}\to &\ 9000\\ r=rate\to 6\%\to \frac{6}{100}\to &0.06\\ n= \begin{array}{llll} \textit{times it compounds per year}\\ \textit{semi-annually, thus twice} \end{array}\to &2\\ t=years\to &9 \end{cases} \\\\\\ A=9000\left(1+\frac{0.06}{2}\right)^{2\cdot 9}$