Explore a vast range of topics and get informed answers at IDNLearn.com. Discover prompt and accurate answers from our experts, ensuring you get the information you need quickly.

The basic equation for calculating compound interest is A = P(1 + nt.
If $1,200 is invested at an interest rate of 8% per year, compounded quarterly, how much will the
investment be worth at the end of 10 years?
Show your work!


The Basic Equation For Calculating Compound Interest Is A P1 Nt If 1200 Is Invested At An Interest Rate Of 8 Per Year Compounded Quarterly How Much Will The Inv class=

Sagot :

The amount of the investment at the end of the 10 years period if compounded quarterly is $2,649.6.

Compound interest

  • Principal, P = $1200
  • Interest rate, r = 8% = 0.08
  • Time, t = 10
  • Number of period, n = 4

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

= 1200(1 + 0.08/4)^(4×10)

= 1200(1 + 0.02)^40

= 1200(1.02)^40

= 1200(2.208)

= $2,649.6

Learn more about compound interest:

https://brainly.com/question/24924853

#SPJ1

We appreciate your participation in this forum. Keep exploring, asking questions, and sharing your insights with the community. Together, we can find the best solutions. Thank you for choosing IDNLearn.com. We’re dedicated to providing clear answers, so visit us again for more solutions.