Asked by Moby

Jose invests $3, 250 at 6% interest compounded annually. What will be the balance in the account after 3.5 years?
Answered by Reiny
Trick question?

Since the compounding is annually, the amount at 3.5 years is the same as it was after 3 years

amount = 3250(1.06)^3
= 3870.80
Answered by Moby
I understand, but now that answer isn't one of my choices?

$3932.50
$3985.23
$4752.00
$5200.00
Answered by Reiny
Proof of my answer:
now ----- 3250
end of 1st year: 3250(1.06) = 3445
end of 2nd year: 3445(1.06) = 3651.70
end of 3rd year: 3641.70(1.06) = 3870.80 >> as I had before

suppose they did
3250(1.06)3.5 = 3985.23 which is one of the choices, BUT contradicts the concept of "compounded annually"

They are wrong!
Answered by Moby
I found out what I was doing wrong. I was not multiplying 1.06 to the power of 3.5. And that through me off. Wayyyy off.
Answered by t̵̨̂̓͗͌͛͘͜r̶̼̝̘̝͈̀̿͆̓̊̈͌̔̄͜͜á̷̼͠s̵̡̪̮̿̕h̸̛̯͉̩̅͒̀̅́̉̓͋̄
This is since 2014, we are now in 2022!!! IT'S BEEN 6 YEARS THAT THIS QUESTION HAS NOT BEEN ANSWERED!!!
Answered by nobody is inside ur closet :)
anyone who reads this must like for i am THE ONE hiding in your closet, im watching
Answered by duuuhh
now we know why people have serious problems these days -_-
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