SOLUTION: suppose you invest 10,000 in a CD (certificate of deposit) for 4 years at an annual rate of 6.25%. what is the total amount of money you will have after the 4 years? I've tried

Question 718506: suppose you invest 10,000 in a CD (certificate of deposit) for 4 years at an annual rate of 6.25%. what is the total amount of money you will have after the 4 years?
I've tried this equation 10,000(1+0.0625)^4 but i get an outrageous answer that im not sure works with the question, can you please help me? Thank you :)
Answer by rfer(16322) (Show Source): You can put this solution on YOUR website!
FV=10000(1.0625)^4
FV=10000*1.27443
FV=$12,744.30
Looks ok here.
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