Question

You deposit $7000 into a bank account that has 6% interest compounded SEMIANNUALLY. Determine the amount of money in the bank after 9 years.

Answer 1

$11917.03

Explanation:

Use Compound Interest Formula:

A = 7,000 (1 + 0.06/2)^2(9)

Simplify:

A = 7,000(1.03)^18

Solve:

A = $11917.03