Question

A bank offers 5% compounded weekly. How much should be deposited now in order to have $3,000 in four years?State your answer to the nearest $1

Answer 1

.05 / 365 = r

4*52 = 208 = n

x (1+r)^n = 3000


x = 3,000/(1+r)^n

Answer 2

r = 0.05/52.

Answer 3

yes r = 0.05/52
weekly not daily !