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Jlenok [28]
3 years ago
6

Keegan deposited $550 in savings account that pays 6.5% annual interest compounded quarterly write the compound interest formula

to represent keegan's investment after 5 years how much money would Keegan have in the account after 5 years
Mathematics
1 answer:
elena55 [62]3 years ago
8 0

Answer:

A = $759.23 after 5 years

Step-by-step explanation:

The compound interest formula applicable here is

A = P(1 + r/n)^(nt), where n is the number of compounding periods per year.

Here P = $550, r = 0.065, n = 4 and t = 5.

We get A = $550(1 + 0.065/4)^(4*5), or

             A = $550(1 + 0.01625)^20, or:

              A = $759.23

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