Question

a person invests $5000 at 6% interest compounded anually for 3 years and then invests the balance ( the $5000 plus the interest earned) in an account at 8% interest for 5years. Find the value of the investment after the 8years

Answer 1

Did you find that calculator, yet?

\[5000\cdot (1.06)^{3}\cdot (1.08)^{5}\] Pretty tough without a calculator.

Answer 2

i got a calculator.

Answer 3

Excellent. Let's see what you get.

Answer 4

hold on

Answer 5

the answer is 8749.97 if rounded up right?

Answer 6

That's what I get. Very good.

Answer 7

thanks