Question 316657
How much money will there be in the account after the given number of years for the following: P= $3000, R= 5% COMPOUNDED SEMIANNUALLY,t=5 years
.
Compound interest formula:
{{{A = P(1 + i/n)^(nt)}}}
Where
A is amount after time t
P is the principal
i is the interest
n is number of times compounded
t is time (in years)
.
{{{A = P(1 + i/n)^(nt)}}}
{{{A = 3000(1 + .05/2)^(2*5)}}}
{{{A = 3000(1 + .05/2)^10}}}
{{{A = 3000(1 + .025)^10}}}
{{{A = 3000(1.025)^10}}}
A = $3840.25