Question

Suppose $1750 is put into an account that pays an annual rate of 4.5%

Answer 1

Answer:

There will be $2288.98 in the account after 6 years

Step-by-step explanation:

We are given that $1750 is put into an account that pays an annual rate of 4.5%  compounded quarterly.

So, Principal = $1750

Rate of interest = 4.5%

No. of compounds per year = 4

Time = 6 years

Formula :$A =P(1+\frac{r}{n})^{nt}$

Where A = Amount

P = Principal

r = rate of interest

n = no. of compounds per year

t = time

Substitute the values in the formula :

$A =1750(1+\frac{4.5}{400})^{4 \times 6}$

A=2288.98

Hence There will be $2288.98 in the account after 6 years