Question

Gene invested $500 at 8% interest compounded quarterly. how much is in the account after 1 year?

Answer 1

$5412.22

Use the formula A=P(1+r/n) to the n times t power

P= initial investment 500
r= Rate 8% change to decimal .08
n= number of times compounded which is quarterly so 4
t= time which is just 1 for one year