You invest an initial $100 in an account that has an annual interest rate of 3%, compounded quarterly. How much money will you have in the account after 20 years? Round your answer to the nearest whole number.

Question

anonymous · Answer

Are you familiar with equation used for this?  $$A=P(1+\frac{ r }{ n })^{nt}$$ P is the amount invested.
r is the rate
n is the number of times compounded annually
t is the number of years

For this question you simply plug in the numbers and solve.  Remember r would be represented as .03 rather than 3% and quarterly means every three months, so 4 times per year.

anonymous · Answer

Hmm, the power looks hard to read in that.  It is raised to the (nt) power.

anonymous · Answer

@dimples98  Just holler if you need help further.

anonymous · Answer

182?

anonymous · Answer

@WillRiven

anonymous · Answer

Yes, that would be what I got as well.