SOLUTION: Can anyone help me with the following?
If you deposit $2500 in an account paying 4.5% interest compounded semiannually, how much will be in the account after 8 years? (Round to th
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-> SOLUTION: Can anyone help me with the following?
If you deposit $2500 in an account paying 4.5% interest compounded semiannually, how much will be in the account after 8 years? (Round to th
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Question 430373: Can anyone help me with the following?
If you deposit $2500 in an account paying 4.5% interest compounded semiannually, how much will be in the account after 8 years? (Round to the nearest cent)
Thank you!! Found 2 solutions by mananth, ikleyn:Answer by mananth(16949) (Show Source):
You can put this solution on YOUR website! Principal P = 2500
Amount= A
years=n 8
compounded 2 times a year
Rate = 4.50 0.02
Amount = P*((n+r)/n)^n
Amount =2500*(1+0.02)^8 *2
Amount =2500*(1 +0.02)^16
2500 *(1.02)^16
Amount =3569.05
You can put this solution on YOUR website! .
If you deposit $2500 in an account paying 4.5% interest compounded semiannually,
how much will be in the account after 8 years? (Round to the nearest cent)
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Calculations in the post by @mananth are presented incorrectly.
I came to bring a correct solution.
Principal P = 2500
Interest rate = 4.5% = 0.045 compounded semiannually.
years = 8.
Use the standard formula for the future value
FV = = = 3569.05 dollars.
ANSWER. In 8 years, the account will be $3569.05.
Solved.
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I wrote this my post to overlay incorrect formulas in the post by @mananth,
that may confuse a reader.
