Lateisha shaw deposits $12000 for 8 years in an account paying 5% compounded quarterly. She then leaves the money alone, with no further deposits, at 6% compounded annually for an additional 6 years. Approximate the total amount on deposit after the entire 14-year period.

The formula is

A=p (1+r/k) ^kt

A future value?

P present value 12000

R interest rate

T time

K compounding periods

The future value of 8 years in an account paying 5% compounded quarterly

A=12,000 * (1+0.05:4) ^ (4*8)

A=17,857.566103137 use it as a present value for the second period

at 6% compounded annually for an additional 6 years.

A=17,857.566103137 * (1+0.06) ^ (6)

A=25,331.30 ... answer