Question

Michelle earned some money doing odd jobs last summer and put it in a savings account that earns 10% interest compounded quarterly after 6 years there is $100.00 in the account. how much did Michelle earn doing odd jobs

Answer 1

The amount she earned doing the odd job is her principal. The principal can be calculated below

`\begin{gathered} p=(A)/((1+(r)/(n))^(nt)) \\ A=\text{accrued amount=100} \\ r=\text{rate}=10\text{ \%=}(10)/(100)=0.1 \\ t=6\text{ years} \\ n=4 \\ p=(100)/((1+(0.1)/(4))^(24)) \\ p=(100)/((1.025)^(24)) \\ p=(100)/(1.80872594958) \\ p=55.2875354186 \\ p=\text{ \$55.29} \end{gathered}`