SOLUTION: When Claudia borrowed $6400 at 11% compounded semiannually for three years, the value of the rate per period was?

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Question 1144671: When Claudia borrowed $6400 at 11% compounded semiannually for three years, the value of the rate per period was?
Answer by Theo(13342) About Me  (Show Source):
You can put this solution on YOUR website!
11% per year compounded semi-annual;y is equal to 11/2 = 5.5% per semi-annual period.
3 years is 6 semi-annual periods
f = p * (1 + r) ^ n
f is the future value
p is the present value
r is the interest rate per time period.
n is the number of time periods.
formula becomes f = 6400 * (1 + .055) ^ 6
solve for f to get f = 8824.593963