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Ede4ka [16]
3 years ago
15

Question

History
1 answer:
Inessa [10]3 years ago
6 0

Answer:

The certificate will be $8541.33 of worth in 5 years.

Explanation:

A = P (1 + r / n)ⁿˣ

P = Principal amount = $7000

r = Annual interest rate = 4%

n = Number of compounds per year = 4

x = time in years = 5

A = Amount after time 'x' = ??

A = 7000 (1 + 0.04 / 4)⁴ˣ⁵

A = 7000 (1 + 0.01)²⁰

A = 7000 (1.01)²⁰

A = 7000 (1.2202)

A = 8541.33

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