Question

$2100.00 is invested in anaccount with a 3.8% interest ratethat is compounded quarterly.How much money is in theaccount at the end of one year?

Answer 1

Given

$\begin{gathered} P=\text{ \ 2100} \\ R=3.8\text{ \%} \\ n=\frac{3}{12}=\frac{1}{4}=0.25 \end{gathered}$

Formula

$A=P(1+\frac{r}{n})^{nt}$

Substitute the given into the formula

$undefined$

The final balance is ₦2,180.94