Question

AWARDED MEDAL FOR HELP/FANNED You deposit $1,000 in an account at the Lifelong Trust Savings and Loan that pays 5% interest compounded quarterly. By how much will your deposit have grown after 9 years? Round your answer to the nearest cent.

Answer 1

Total = Principal * (1 + (rate/n)^n*t
where 'n' is the number of compounding periods
Total = 1,000 * (1+.05/4)4*9
Total = 1,000 * 1.0125^36
Total = 1,000 * 1.5639438187
Total = 1,563.94
You may check your answer here:
http://www.1728.org/compint.htm

Answer 2

Thank you!

Answer 3

u r welcome