SOLUTION: Can you help me with this exercise, please? If $5000 is deposited today, at 6% compounded semi-annually, how much money will this account contain after five years? (Asume no fur

Algebra ->  Logarithm Solvers, Trainers and Word Problems -> SOLUTION: Can you help me with this exercise, please? If $5000 is deposited today, at 6% compounded semi-annually, how much money will this account contain after five years? (Asume no fur      Log On


   

Question 356443: Can you help me with this exercise, please?
If $5000 is deposited today, at 6% compounded semi-annually, how much money will this account contain after five years? (Asume no further deposits or withdrawals have been made during the five-year period).

Thank You!
Answer by Fombitz(32388) About Me  (Show Source):
You can put this solution on YOUR website!
Interest: 6% annual would be 3% semiannually or 0.03.
Time Period: There are 10 semiannual periods in 5 years.
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F=P%281%2Bi%29%5En
F=5000%281%2B0.03%29%5E10
F=5000%281.03%29%5E10
F=5000%281.343916%29
highlight%28F=6719.58%29