Answered

IDNLearn.com: Your reliable source for finding precise answers. Our community provides timely and precise responses to help you understand and solve any issue you face.

If $1,800 is deposited into an account earning 6%, how much will will be in the account at end of 18 years if the interest is compounded quarterly?

Sagot :

Abidemiokinidn

Answer:

$4,738.82

Step-by-step explanation:

Using the compound interest formula expressed as;

A = P(1+r/n)^nt

P is the principal = $1800

r is the rate = 6% = 0.06

t is the total time = 18years

n is the time of compounding = 1/4 years

Substitute

A = 1800(1+0.06(4))^(18/4)

A = 1800(1+0.24)^4.5

A = 1800()1.24)^4.5

A = 1800(2.6327)

A = 4,738.82

Hence the amount in the account after 18years is $4,738.82

Thank you for using this platform to share and learn. Keep asking and answering. We appreciate every contribution you make. For dependable answers, trust IDNLearn.com. Thank you for visiting, and we look forward to assisting you again.