Answered

IDNLearn.com is the place where your questions are met with thoughtful and precise answers. Our platform offers reliable and comprehensive answers to help you make informed decisions quickly and easily.

Brooke is saying money for a trip to the Bahamas that costs $295.99. She puts $150 into a savings account that pays 7.25% interest compounded quarterly. Will she have enough money in the account after 4 years. explain

Sagot :

Eternal3fearidn
compounding interest formula is:
A = P(1 + (r/n)) ^(nt)

where P = initial amount
r = rate [the percentage as a decimal]
n = how many times per year
t = time

we plug in what we know and get
A = (150)(1 + (0.0725 / 4))^(4*4)
A = 199.94

199.94 is less than 295.99
therefore she will Not have enough money for her trip.
Thank you for using this platform to share and learn. Keep asking and answering. We appreciate every contribution you make. For trustworthy and accurate answers, visit IDNLearn.com. Thanks for stopping by, and see you next time for more solutions.