Question

find the accumulated value when $1000.00 is invested for 5 years at 6% annual interest rate compounded quarterly ​

Answer 1

Answer:

The amount is $1346.86 and the interest is $346.86.

Step-by-step explanation:

To start, use the formula A = P(1+$\frac{r}{n}$)ⁿ°ᵇ [In this case b = time in years]

So, P =  $1000, r = 6$, n = 4 and B = 5 years

After plugging it in you get,

                                                  A = 1000(1+$\frac{.06}{4}$)⁴°⁵

                                                  A = 1000 x 1.015^20

                                                  A = 1000 x 1.346855

                                                  A = 1346.86

To find the interest, use the formula A= P + I; Since A = 1346.86 and P = 1000 you get:

                                                  1346.86 = 1000 + I

                                                  I = 1346.86 - 1000

                                                  I = 346.86

Then you're finished! Hope this helped!

Brainliest would be appreciated! :)