SOLUTION: $15000 is invested at 5% per year compounded semi-annually for 3 years. Find the amount obtained at the end of this period.

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Question 1173696: $15000 is invested at 5% per year compounded semi-annually for 3 years. Find the amount obtained at the end of this period.
Answer by mila nedic(19) About Me  (Show Source):
You can put this solution on YOUR website!
The formula for compound interest is: A=P%281%2Br%2Fn%29%5Ent
A=amount, P=principal, r=interest rate (decimal), n=number of times compounded per unit "t", t=time
P=15000
r=0.05
n=2
t=3
Now we have to input the numbers into the formula:
A=15000%281%2B0.05%2F2%29%5E%282%2A3%29≈17395.40
Answer is rounded to the nearest hundredth.
Therefore the amount obtained is approximately $17395.40 or $32395.40 in total.