Question 619168: Find the final amount of money in an account if $6,800 is deposited at 4.5% interest compounded weekly and the money is left for six years. The final amount is? (round answer two decimal places.)
Answer by lwsshak3(11628)   (Show Source):
You can put this solution on YOUR website! Find the final amount of money in an account if $6,800 is deposited at 4.5% interest compounded weekly and the money is left for six years. The final amount is? (round answer two decimal places.)
**
Compound interest formula: A=P(1+i)^n, i=interest rate per compounding period, n=number of compounding periods, A= amt after n periods
For given problem:
n=6*52=312 (weeks)
i=.045/52
A=6800*(1+.045/52)^312
Using calculator:
A≈$8907 (amount of money after 6 years)
|
|
|
