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11 October, 18:32

Determine the amount of an investment if $1000 is invested at an interest rate of 7.3% compounded quarterly for 30 years.

$8,760.53

$8,876.13

$8,279.26

$3,190

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Answers (1)
  1. 11 October, 20:24
    0
    Well, this is rather lengthy so ...

    First, you'd do ...

    1000 * 0.073 = $73.

    $73 is for one quarter, so ...

    A quarter of a year is 1/4 of the year, so you'd need to do ... $73 * 4.

    = $292.

    $292 is for one year.

    Now do ...

    $292 * 30

    Your Answer:

    A. $8760 is invested at an interest rate of 7.3% compounded quarterly for 30 years.
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