Answer:
[tex]\$1,616.60[/tex]
Step-by-step explanation:
we know that
The compound interest formula is equal to
[tex]A=P(1+\frac{r}{n})^{nt}[/tex]
where
A is the Final Investment Value
P is the Principal amount of money to be invested
r is the rate of interest in decimal
t is Number of Time Periods
n is the number of times interest is compounded per year
in this problem we have
[tex]t=5\ years\\ P=\$1,500\\ r=1.5\%=1.5/100=0.015\\n=4[/tex]
substitute in the formula above
[tex]A=1,500(1+\frac{0.015}{4})^{4*5}[/tex]
[tex]A=1,500(1.00375)^{20}[/tex]
[tex]A=\$1,616.60[/tex]
Answer:
we know that
The compound interest formula is equal to
where
A is the Final Investment Value
P is the Principal amount of money to be invested
r is the rate of interest in decimal
t is Number of Time Periods
n is the number of times interest is compounded per year
in this problem we have
substitute in the formula above
Step-by-step explanation:
