Donna opens a certificate of deposit (CD) with $2,000. The bank offers a 3% interest rate. If the account compounds quarterly, which of the following equations represents the future value of the account, after 1 year?
A. A = 2000 (0.03/ 4) ^4

Question

Donna opens a certificate of deposit (CD) with $2,000. The bank offers a 3% interest rate. If the account compounds quarterly, which of the following equations represents the future value of the account, after 1 year?
A. A = 2000 (0.03/ 4) ^4

anonymous · Answer

B. A = 2000 ( 0.03/4)
C. A = 2000 (1+ 0.03)^4
D. A = 2000 (1 + 0.03/4)^4

anonymous · Answer

@Michele_Laino

michele_laino · Answer

I'm sorry, I'm not good with financial mathematics