Question

can anyone check my answer choice

Muriel opened a savings account with an annual interest rate of 9% and an initial deposit of $4000. If her interest is compounded quarterly, how much is in her account after 6 years? Round your answer to the nearest cent.
interest compounded quarterly: A = P (1 +r/4)4t

Answer:98160

Answer 1

t is in years
P is the starting amount
r is the annual rate decimal 0.09

Answer 2

each quarter of the year, the current value will be increased by (9/4)%, so each year you are multiplying the principal by 1.0225 , 4 times

general exponential y=A*b^x

Answer 3

so it would equal 31644.33

Answer 4

A = P *(1 +r/4)^(4t)

\[\huge A = 4000*(1+\frac{ 0.09 }{ 4 })^{4*6}\]

Answer 5

there are 24 compound times 4*6=24, and each time it adds a factor of (1+.09/4)=1.0225 multiplied on again

Answer 6

i think it comes to near 6823 and change

Answer 7

thank you sooooo much I've been stuck on this question for hours

Answer 8

no problem, it is just an exponential function y=A*b^x
just have to get the compounding period and things down