Question

You deposit $1,000 for 4 years at an interest rate 2.0%.If the interest is compounded quarterly ,how much money do you have after the four years?

Answer 1

A = P (1 + r/n)^nt
A = 1000(1 + 0.02/4)^16
A = 1000(1.005)^16
A = 1083.07

answer
$1,083.07 after the four years