en

English

Español

Português

Français

Deutsch

Italiano

Русский

中文(简体)

한국어

日本語

Tiếng Việt

עברית

العربية

Popular Word Problems >

You invest 5,000 in a savings account paying 4% interest compounded quarterly. How much is in the account after 5 years

Solution

Y o u in v es t 5, 000 in a s a v in g s a cco u n t p a y in g 4% in t eres t co m p o u n d e d q u a r t er l y . Ho w m u c h i s in t h e a cco u n t a f t er 5 ye a rs

Solution

Amount : 6100.95

Solution steps

Translate the problem into an equation:

A = 5000 (1 + \frac{0.04}{4})^{4 \cdot 5}

5000 (1 + \frac{0.04}{4})^{4 \cdot 5} = 6100.95019 \dots

Round to the nearest hundredth:

6100.95

Amount : 6100.95

Popular Examples

The radius of a circle is 4 in. Find its area in terms of pipi.You deposit 6000 in an account earning 5% interest compounded semiannually. How much will you have in the account in 5 years?The diameter of a circle is 8 m. Find its area in terms of pipi.Maureen is saving up money to buy a car. Maureen puts 10,000.00 into an account which earns 4% interest, compounded monthly. How much will she have in the account after 7 years?Felix has 100 in an account that earns 5% interest compounded annually.To the nearest cent, how much interest will he earn in 2 years?