SOLUTION: On Melissas 6th birthday, she gets a $5000 CD that earns 5% interest, compounded semiannually. if the cd matures on her 12th birthday how much money will be available?
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Question 950208: On Melissas 6th birthday, she gets a $5000 CD that earns 5% interest, compounded semiannually. if the cd matures on her 12th birthday how much money will be available? Answer by stanbon(75887) (Show Source):
You can put this solution on YOUR website! On Melissas 6th birthday, she gets a $5000 CD that earns 5% interest, compounded semiannually. if the cd matures on her 12th birthday how much money will be available?
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A(7) = 5000(1+(0.05/2))^(2*7)
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A(7) = 5000*1.025^14
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A(7) = $7064.87
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Cheers,
Stan H.
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