Answered

Discover answers to your most pressing questions at Westonci.ca, the ultimate Q&A platform that connects you with expert solutions. Discover the answers you need from a community of experts ready to help you with their knowledge and experience in various fields. Get precise and detailed answers to your questions from a knowledgeable community of experts on our Q&A platform.

A $20,000 deposit was placed in a bank paying 5.75% interest compounded quarterly. After 12 months, how much interest was earned.

Sagot :

AL2006
After 1 year, the bank paid (5.75/4) percent, 4 times.

The value of the investment is (20,000) times (1 + 0.0575/4) to the 4th power.

(1 + 0.0575/4) = 1.014375

That number to the 4th power is 1.05875... (rounded)

The interest alone is (20,000) times (0.05875...) =  $1,175.04
tadvisohil886
[tex]P = 20,000 \\ R = 5.75 \\ T = 1 \\ I = \frac{PRT}{100} \\ = \frac{20000 * 5.75*1}{100} \\ = 115000/100 \\ = 1150 $[/tex]
Thanks for stopping by. We strive to provide the best answers for all your questions. See you again soon. We hope this was helpful. Please come back whenever you need more information or answers to your queries. Your questions are important to us at Westonci.ca. Visit again for expert answers and reliable information.