Question

are there 20 quarters in 5 years?

Answer 1

what are quarters of years? What does that mean?

Answer 2

yea. im trying to work on my word problem and im having trouble.

Answer 3

let me repost it and you can see what im talking about. ive gotten so far but im stuck

Answer 4

a company will need 55,000 in 5 years for a new addition. to meet this goal the company deposits money in an account that pays 5% annual interest compound quarterly. find the amount that should be invested to total 55,000 in five years.

Answer 5

yes there are 20 quarters in 5 years. Just like there are 20 quarters in 5 of anything.

Answer 6

i know i use a=p(1+r)^n

Answer 7

\[A=A _{o}(1+\frac{r}{n})^{nt}\]

Answer 8

ok i dont know that lol

Answer 9

to find the total rate per period dont i divide

Answer 10

\[55000=A _{0}(1+\frac{.05}{4})^{4(5)}\]

Answer 11

ok thats were im lost. i divide 4 into 5?

Answer 12

0.0125?

Answer 13

Got your calculator?

Answer 14

\[55000=A _{0}(1+.0125)^{20}\]

Answer 15

\[55000=A _{0}(1.0125)^{20}\]

Answer 16

\[55000=A _{0}(1.28204)\]

Answer 17

\[A _{0}=$42,900.47\]