Question

nadine -- Please use the Post a New Question link to ask your questions. Don't piggyback on another student's question.

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nadine's question --

Karen deposited $4000 into an account with 2.4% interest, compounded quarterly. Assuming that no withdrawals are made, how much will she have in the account after 9 years?

Answer 1

just plug it into the usual formula:

4000(1 + 0.024/4)^(4*9) = ?

Answer 2

2.4/ 4 = 0.60% per quarter = 0.0064
9 years = 36 quarters
so
4000 (1.0064)^36
=4000 * 1.25818