SOLUTION: A fund pays 14% annual interest compounded quarterly. What is the value of a $10,000 investment after 3 yr?

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Question 354486: A fund pays 14% annual interest compounded
quarterly. What is the value of a $10,000 investment
after 3 yr?
Answer by robertb(5830) About Me  (Show Source):
You can put this solution on YOUR website!
The formula is B=P%2A%281%2Br%2Fn%29%5E%28nt%29, where B is the balance of the investment after t years of an initial investment, or principal, of P, with annual interest rate 100r% where interest is compounded n times a year.
This gives
B=10000%2A%281%2B0.14%2F4%29%5E12,
B+=+10000%2A%281.035%29%5E12,
B+=+15110.69.