Question

Please help me with this! Thank you! Find the amount owed at the end of 6 years if $2500 is loaned at a rate of 7% compounded quarterly.

Answer 1

a. $3302.47
b. $3791.11
c. $4398.34
d. $3175.95

Answer 2

id just use the compound formula:\[A=P(1+r/n)^{nt}\]

P is the principal amount
r is the rate
n is the number of times compounded in a period
t is the number of periods

a period is usually 1 year so ......

Answer 3

\[A=P \left( 1+\frac{ r }{100 } \right)^t\]
t=6 years=4*6=24 quarters
r=7per annum=7/4 per quarter.
calculate A,given P=$2500

Answer 4

Okay, thanks for the help!

Answer 5

yw