compounded semiannually (n=2)?

Question

anonymous · Answer

is that right?

wolf1728 · Answer

I need a little more information.

anonymous · Answer

im asking if coumponded semiannually is equal to 2 algerbra 2 stuff

wolf1728 · Answer

It all depends on the formula you are using.
Compound rate = (1+ rate/(compounding periods)^compounding periods
Compound rate = 
oh and what is the interest rater?

anonymous · Answer

How much will $600 amount to be if it is invested at 10% interest compounded semiannually (two times a year) for 4 years?

anonymous · Answer

im useing A(t)=P(1+ r/n)^nt formula

anonymous · Answer

is that right?

wolf1728 · Answer

Is this only $600 invested once?
Or is this an annuity in which the $600 is invested twice a year for 4 years?

ranga · Answer

Sorry I couldn't reply sooner.  Was caught in long calculations with three others.

In the compound interest formula, 
compounding semiannually means n = 2
quarterly means n = 4 
yearly means n = 1 
monthly means n = 12 
daily means n = 365

wolf1728 · Answer

The 10 % compounded semi-annually equals 10.25%
Total = Principal * (1+rate)^4
Total = $600 * (1.1025)^4
Total = 600 * 1.4774554438
Total = 886.47

ranga · Answer

Yes.  Reaper:  The same result can be gotten using the formula given to you:
A(t)=P(1+ r/n)^nt  =  600(1 + 0.1/2)^(4*2)  = $886.47

wolf1728 · Answer

All right - great minds think alike!!

ranga · Answer

lol.

anonymous · Answer

haha thanks ranga better late then never right? lol