Question

Complete the problems. (From Example 2)
1. How much compound interest will $50,000 have earned in 10 years at 6.4% annual interest compounded
quarterly?

Answer 1

Answer:

Compound interest is $7,037,339.2

Step-by-step explanation:

${ \boxed{ \bf{A=P(1+ \frac{r}{100} ) {}^{n} }}}$

substitute:

${ \sf{ = 50000(1 + \frac{6.4}{100}) {}^{10} }} \\ \\ = { \sf{50000(1.64) {}^{10} }} \\ \\ { = \sf{7037339.2}}$