Question

Chelsea invested $5600 at a rate of 3.6% compounded quarterly. Write a compound interest function to model the situation. Then find the balance after 6 years.

Answer 1

6 years is more like 6 * 4 = 24 quarters.


\(\Large \color{MidnightBlue}{\Rightarrow 5600(1 + {36 \over 1000})^n }\)

Here is the formula for continuous compounding.

Answer 2

n = number of quarters, and here, that is 24.

Answer 3

You might need a calculator from here on

Answer 4

just a question... is the interest quoted as 3.6% p.a or 3.6% per quarter.?