Answer:
The amount after 6 months compounded quarterly is $1917.66 .
Step-by-step explanation:
Given as :
The principal amount deposited in account = $1850
The bank applied rate of interest = r = 7.25% compounded quarterly
The time period of loan = t = 6 months = 0.5 years
Let the Amount after 6 months = $A
Now,<u> From quarterly Compound Interest method </u>
Amount = principal ×
Or, A = p ×
Or, A = $1850 ×
Or, A = $1850 ×
Or, A = $1850 × 1.036578
∴ A = $1917.66
i.e A = $1917.66
So, The amount after 6 months = A = $1917.66
Hence, The amount after 6 months compounded quarterly is $1917.66 . Answer
