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jeka57 [31]
3 years ago
9

amelia is going to invest in an account paying on interest rate of 6.5% compounded daily? help me plz someone

Mathematics
1 answer:
yaroslaw [1]3 years ago
7 0

Answer:

$9,763

Step-by-step explanation:

Using the compund interest formula;

A = P(1+r)^t

A is the amount = $10,200

rate r = 6.5%= 0.065

time t = years

n = 1/365 ((daily compounding)

Substitute into the formula and get Pincipal P

10,200 = P(1+0.065(365))^5/365

10200 = P(1+23.725)^0.01369

10200 = P(24.725)^0.01369

10200 = P(1.0448)

P = 10200/1.0448

P = 9,762.6

Hence the amount invested is $9,763 to nearest dollars

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