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Math Question?
Suppose you invest $1500 in an account paying 4.75 annual interest. Find the account balance after 25 yr with the interest compounded the following ways:
Annually
Semiannually
Quarterly
Monthly
Show your work and the answers. The best (correct) answer get the vote.
2 Answers
- 1 decade agoFavorite Answer
man ur stupid this is easy
look if the 4.74 is anual interest
then for the first year the person will gain $71.25
given to a total of $1571.25 i got this by doing 4.75 times 1500 divided by 100 and the that answer for one year for the second year you would do 1571.25 x 4.75 / 100 equals 74.63 and then u add that to 1571.25 and u get idk what but u continue doing that until at the end u get 3281.25 after 25 years for the anually for the semiannualy u get 3637.5 for the quartely u get 8625 if its monthly
then u get 22875
- Homer J. SimpsonLv 61 decade ago
1500*(1+4.75%/m)^(25*m)
Where m = number of periods per year
for annual m=1, for monthly m=12, etc.