1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
hoa [83]
3 years ago
8

Please provide a step-by-step instruction: You deposit $6,900 in a 2-year certificate of deposit (CD) earning 2.2% annual intere

st compounded daily. At the end of the 2 years, you reinvest the compound amount plus an additional $6,900 in another 2-year CD. The annual interest rate on the second CD is 2.7%, compounded daily. What is the compound amount (in dollars) when the second CD matures? (Enter a number. Round to the nearest cent. Assume all years have 365 days.)
Mathematics
1 answer:
MatroZZZ [7]3 years ago
4 0

Answer: the compound amount when the second CD matures is $14889.9

Step-by-step explanation:

We would apply the formula for determining compound interest which is expressed as

A = P(1+r/n)^nt

Where

A = total amount in the account at the end of t years

r represents the interest rate.

n represents the periodic interval at which it was compounded.

P represents the principal or initial amount deposited

From the information given,

P = 6900

r = 2.2% = 2.2/100 = 0.022

n = 1 because it was compounded once in a year.

t = 2 years

Therefore,.

A = 6900(1 + 0.022/1)^1 × 2

A = 6900(1.022)^2

A = 7206.9396

The amount reinvested in the second account is

7206.9396 + 6900 = $14106.9396

r = 2.7% = 0.027

t = 2 years

n = 365 because it was compounded daily . Therefore,

A = 14106.9396(1 + 0.027/365)^2 × 365

A = 14106.9396(1.000074)^730

A = 14106.9396 × 1.0555

A= $14889.9

You might be interested in
Farmer Ed has 8,000 meters of fencing & wants to enclose a rectangular plot that borders a river. If farmer Ed does not fenc
attashe74 [19]

Answer:

largest area that can be enclosed = 8,000,000 m²

Step-by-step explanation:

Since it is a rectangle plot, the area is expressed as; A = xy, where x is length and y is width.

Because it is next to the river, he only needs to fence three sides, so amount of fencing; F = x + 2y.

Since we know the amount of fencing available is 8000m, we get:

8000 = x + 2y

solving for x, we have;

x = 8000 - 2y

substitute 8000 - 2y for x into the area equation to give;

A = (8000 - 2y)y distribute

A = -2y² + 8000y

Now, due to the negative sign next to 2, this will be a parabola which opens down, meaning that the point of maximum area will be at the vertex,

Thus; y = -b/2a = -8000/[2(-2)] = 2000

x = 8000 - 2(2000) = 4000

A = 4000(2000) = 8,000,000 m²

8 0
3 years ago
The value of a particular antique is estimated to be £122000.
swat32
The answer is 134505
5 0
3 years ago
A scale measures weight to the nearest 0.1 pounds. Which is the most appropriate way to report weight using this scale ?
ratelena [41]
The answer is A
***********************************
8 0
3 years ago
Read 2 more answers
One pound of red grapes cost $2.42 Ella buys worth 0.5 pound how much does she spend on red grapes
Bess [88]

Answer:

1.21

Step-by-step explanation:

The cost of the grapes is the price per pound times the number of pounds

cost = 2.42 * .5

cost = 1.21

7 0
3 years ago
Classwork: Multiply, Add, and Subtract Polyno
V125BC [204]
I hope this was helpful

3 0
1 year ago
Other questions:
  • The staircase is 50 feet high. You have to go around 5 times to get to the top. Each time you go around, you walk 30 feet and ge
    11·1 answer
  • Please answer quickly! Will give 5 star and brainliest for quickest answer.
    9·1 answer
  • Rearranging Equations: Solve the equation for y: 8x + y = 14 Solve the equation for x: -9x + 3y = 18
    14·1 answer
  • The function below can be used to calculate the cost of making a long distance call, f(m), which is based on a $2.50 initial cha
    8·1 answer
  • Question Help
    8·1 answer
  • The answer should be a fraction
    14·2 answers
  • when solving a multi-step equation,does it matter in which order the operations are performed?explain.
    7·2 answers
  • If 50% of 160 is 80, what is 75% of 160?​
    6·1 answer
  • The number of coffee shops in a certain country can be modeled by the quadratic function ​f(x)105x²+680x+4296, where​ f(x) is th
    10·1 answer
  • Please help!!!!!
    9·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!