document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=543164>Question 543164</A>: <I><SPAN STYLE=\"word-break: break-all;\"> how much money will Jamie have in 3 years if he invests $5000 at a 3.85% annual rate of interest compounded annually? How much will he have if it is compounded quarterly? </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #356117 by </B><A HREF=/tutors/aboutme.mpl?userid=lwsshak3><B>lwsshak3(11628)</B></A><img src=\"/images/stars/stars-13.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=lwsshak3><IMG SRC=http://www.algebra.com/images/aboutme-small.gif BORDER=0 alt=\"About Me\" VALIGN=MIDDLE></A>&nbsp;<IMG SRC=http://www.algebra.com/images/nopicture.jpg><BR>You can <A HREF=\"/cgi-bin/embed-solution.mpl?show=1&solution=356117\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> how much money will Jamie have in 3 years if he invests $5000 at a 3.85% annual rate of interest compounded annually? How much will he have if it is compounded quarterly?<BR>\n" );
document.write( "**<BR>\n" );
document.write( "compound interest formula: A=P(1+i)^n, P=initial investment, i=interest rate per period, A=amount after n periods.<BR>\n" );
document.write( "..<BR>\n" );
document.write( "Compounded annually:<BR>\n" );
document.write( "A=5000(1+.0385)^3<BR>\n" );
document.write( "A=$5600.02<BR>\n" );
document.write( "..<BR>\n" );
document.write( "Compounded quarterly:<BR>\n" );
document.write( "A=5000(1+.0385/4)^3*4 <BR>\n" );
document.write( "A=5000(1+.009625)^12<BR>\n" );
document.write( "A=5000(1.009625)^12<BR>\n" );
document.write( "A=$5609.07 </SPAN>\n" );
document.write( "</TD></TR></TABLE>\n" );