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26 April, 14:24

Jimmy invests $3000 in an account with a 3.8% interest rate, making no other deposits or withdrawals. What will Jimmy's account balance be after 9 years if the interest is compounded quarterly? Round to the nearest cent.

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  1. 26 April, 14:51
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    Use the formula A (t) = P (1+[r/n]) ^ (n) (t) which for us looks like this:

    A (t) = 3000 (1+[.038/4]) ^ (4) (9). Doing that math, you have 3000 (1.405489). The product of that is $4216.47
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