Westonci.ca connects you with experts who provide insightful answers to your questions. Join us today and start learning! Ask your questions and receive precise answers from experienced professionals across different disciplines. Get precise and detailed answers to your questions from a knowledgeable community of experts on our Q&A platform.
Sagot :
Answer
393.55
Explanation
The amount that results after an amount P is invested at compound interest at rate r% and time period t is given as
A = P (1 + r)ᵗ
For this question,
A = 800
r = 3% = 0.03
t = 2 (12) = 24 (Since the interest is compounded monthly, over 2 years)
P = ?
800 = P (1 + 0.03)²⁴
800 = P (1.03)²⁴
800 = P (2.0328)
2.0328P = 800
Divide both sides by 2.0328
(2.0328P/2.0328) = (800/2.0328)
P = 393.55
Hope this Helps!!!
Luke opened a savings account 3 years ago. the account earns 6%interest compounded quarterly if the current balance is 300.00 how much did he deposit initially
Answer
This is similar to the first one too.
A = P (1 + r)ᵗ
For this question,
A = 300
r = 6% = 0.06
t = 3 (4) = 12 (Since the interest is compounded quarterly, over 3 years; there are 4 quarters per year)
300 = P (1 + 0.06)¹²
300 = P (1.06)¹²
300 = P (2.0122)
2.0122P = 300
Divide both sides by 2.0122
(2.0122P/2.0122) = (300/2.0122)
P = 149.09
Hope this Helps!!!
We appreciate your visit. Our platform is always here to offer accurate and reliable answers. Return anytime. Thank you for visiting. Our goal is to provide the most accurate answers for all your informational needs. Come back soon. We're glad you chose Westonci.ca. Revisit us for updated answers from our knowledgeable team.
