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dangina [55]
3 years ago
14

keiko invested $2875 in a savings account which earns 3.15% interest compounded semiannually. What will the account be worth in

7 years?
Mathematics
1 answer:
ludmilkaskok [199]3 years ago
4 0
Principal amount = P = $2875
Interest rate = r = 3.15% = 0.0315
Period = t = 7 years
Compunding periods = n = 2

The formula to be used is:

A=P(1+ \frac{r}{n})^{t*n}

Using the values, we get:

A=2875(1+ \frac{0.0315}{2})^{2*7}  =3578.11

Thus, the worth of the account after 7 years of saving will be $3578.11
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