Question

3.

Find the compound amount. Round to the nearest cent.

Amount: $23,400
Rate: 3%
Compounded: semiannually
Time (Years): 10


$31,516.52

$27,156.64

$26,910.00

$31,447.73
4.
Find the interest earned. Assume 3.5% interest compounded daily.
$2,310 deposited April 12 and withdrawn July 5


$17.34

$18.68

$18.46

$17.12

Answer 1

3. Here we use the formula

`A = P ( 1 + (r)/(n) )^ {nt}`

And we have the following values given

`P = $23400, r = 3%=0.03,n =2, t=10 years`

So we will get

`A = 23400(1+ (0.03)/(2) )^(2*10) \\ A = 23400( (2.03)/(2) )^(20) = $31516.52`

Question 4.

In this question , we have

`P = $2310, R = 3.5% = 0.035 , \\ Number \ of \ days \ from \ april \12 to July \ 5 = 30+31+23 = 84 days`

`A = 2310(1+ (0.035)/(365))^(84)  = $2328.68`

Interest is the difference of amount and principal, that is

`I = 2328.68-2310 = $18.68`