document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=901427>Question 901427</A>: <I><SPAN STYLE=\"word-break: break-all;\"> You wish to invest 2,000 pesos in Uruguay at 9% annually, compounded twice a year. Find the value of your investment in 8 years, expressing the answer in constant pesos.  </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #546728 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=546728\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> You wish to invest 2,000 pesos in Uruguay at 9% annually, compounded twice a year. Find the value of your investment in 8 years, expressing the answer in constant pesos.<BR>\n" );
document.write( "***<BR>\n" );
document.write( "Compound interest formula: A=P(1+i)^n, P=initial investment, i=interest per compounding period, n=number of compounding periods, A=amount after n-periods<BR>\n" );
document.write( "..<BR>\n" );
document.write( "For given problem:<BR>\n" );
document.write( "P=2000<BR>\n" );
document.write( "i=.09/2=.045<BR>\n" );
document.write( "n=8*2=16<BR>\n" );
document.write( "..<BR>\n" );
document.write( "A=2000(1+.045)^16<BR>\n" );
document.write( "A=2000(1.045)^16<BR>\n" );
document.write( "A&#8776;4045<BR>\n" );
document.write( "Value of investment in 8 years=4045 pesos<BR>\n" );
document.write( " </SPAN>\n" );
document.write( "</TD></TR></TABLE>\n" );