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9 May, 12:44

Gavin deposited $220 into his savings account that is compounded quarterly at an annual rate of 9%. How much money will Gavin have in his account after 5 years if he makes no additional deposits?

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Answers (2)
  1. 9 May, 12:46
    0
    A=P (1+r/n) ^nt

    this is where

    A = the future value of the investment/loan, including interest

    P = the principal investment amount (the initial deposit or loan amount)

    r = the annual interest rate (decimal)

    n = the number of times that interest is compounded per year

    t = the number of years the money is invested or borrowed for

    A=220 * (1+0.09/4) ^ (4*5)

    A = 220*1.0225^20

    A = 220*1.56

    A = 343.2

    $343.2 is the answer
  2. 9 May, 12:59
    0
    220 is divided by 5 and ure answer is that
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