Its technically like 7/8 x 60 because 60 mins is an hour
You can because you already know the number is 3 and the blank number is n
The answer is 12.64. I hope I helped. :)
We can use the formula below in solving the unknown which is the amount at maturity. In the problem, we can use this formula where V is the missing value V = P(1+r/n)^<span>(nt)
For compounded quarterly, the solution is shown below:
V = $10,000 (1 + 4.5%/4) ^(4*1)
V = 10,000 (1.01125)^4
V = $10,457.65
For compounded daily, we have:
V = 10,000 (1.056025)
V = $10,560.25
The difference can be computed same below:
Difference = $10,560.25 - $10,457.65
Difference = $102.6
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