A $2,000 deposit at an APR of 5.4% with quarterly compounding for 8 years. The amount after 8 years will be??
4 answers
Enough already. By now if you are paying any attention you should be able to post at least an attempt at an answer.
rate is .054 /4
number of periods = 4*8 = 32
number of periods = 4*8 = 32
I did that and it said it was wrong I need the amount after 8 years how do I do that
.054/4 = .0135
that is your quarterly rate so every 3 months multiply by
1.0135
1.0135^32 = 1.53589
so multiply 2,000 by that. 3071.78
that is your quarterly rate so every 3 months multiply by
1.0135
1.0135^32 = 1.53589
so multiply 2,000 by that. 3071.78