josiah181
Answered

At Westonci.ca, we provide clear, reliable answers to all your questions. Join our vibrant community and get the solutions you need. Get accurate and detailed answers to your questions from a dedicated community of experts on our Q&A platform. Join our Q&A platform to connect with experts dedicated to providing accurate answers to your questions in various fields.

Jonathan deposits $6,000 in a savings account that pays 2.1% interest compounded
quarterly. What is his balance after one year?


Sagot :

Given:

Principal= $6000

Rate of interest = 2.1% compounded quarterly.

To find:

The balance after one year.

Solution:

The formula for amount is:

[tex]A=P\left(1+\dfrac{r}{n}\right)^{nt}[/tex]

Where, P is principal, r is rate of interest, n is number of times interest compounded in an year and t is number of years.

We have, P=6000, r=0.021, n=4 and t=1.

Putting these values in the above formula, we get

[tex]A=6000\left(1+\dfrac{0.021}{4}\right)^{4(1)}[/tex]

[tex]A=6000\left(1+0.00525\right)^{4}[/tex]

[tex]A=6000\left(1.00525\right)^{4}[/tex]

[tex]A=6126.9957[/tex]

[tex]A\approx 6126.996[/tex]

Therefore, the balance after one year is $6126.996.

Answer:

C. $7,800

Step-by-step explanation:

We appreciate your time. Please revisit us for more reliable answers to any questions you may have. Thank you for visiting. Our goal is to provide the most accurate answers for all your informational needs. Come back soon. Westonci.ca is here to provide the answers you seek. Return often for more expert solutions.