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Beliebt Word Problems >

Rudy puts 500.00 into an account to use for school expenses. The account earns 11% interest, compounded quarterly. How much will be in the account after 4 years?

Lösung

R u d y p u t s 500.00 in t o an a cco u n t t o u se f or sc h oo l e x p e n ses . T h e a cco u n t e a r n s 11% 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 w i ll b e in t h e a cco u n t a f t er 4 ye a rs ?

Lösung

Amount : 771.75

Schritte zur Lösung

Translate the problem into an equation:

A = 500 (1 + \frac{0.11}{4})^{4 \cdot 4}

500 (1 + \frac{0.11}{4})^{4 \cdot 4} = 771.75471 \dots

Round to the nearest hundredth:

771.75

Amount : 771.75

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