Question

Isabella borrowed $8000 at a rate of 14%, compounded quarterly. Assuming that she makes no payments, how much will she oh after three years?

Answer 1

Answer:

$12,088.55

Step-by-step explanation:

The formula for compounded interest is A = P(1+r/n)^n(t)

A= final amount

P = initial amount

r = rate of interest

n = amount of times it is compounded

t = time or amount of years

In this case n=4 because you are compounding quarterly which is 4 times a year and t will be 3 because you are looking for the amount after 3 years. r is .14 because 14% is .14 in decimal form.