An investment of $7,650 earns interest at the rate of 5% and is compounded quarterly. What is the accumulated value of the inves

Question

dangina

3 months ago

6

An investment of $7,650 earns interest at the rate of 5% and is compounded quarterly. What is the accumulated value of the inves

tment at the end of 9 years?
a.
$11,964.17
b.
$11,867.66
c.
$9,338.56
d.
$8,554.94

Mathematics

2 answers:

zzz [12.3K] · Answer 1 · 2026-03-01T18:55:04+03:00

zzz [12.3K]3 months ago

8 0

FV = P(1 + r/t)^nt, where P denotes the principal amount, r is the interest rate, t is the frequency of compounding per year, and n is the total number of years.

Calculating: FV = 7650(1 + 0.05/4)^(9 x 4) = 7650(1 + 0.0125)^36 = 7650(1.0125)^36 = 7650(1.564) = $11,964.17

PIT_PIT [12.4K] · Answer 2 · 2026-03-01T18:55:00+03:00

PIT_PIT [12.4K]3 months ago

5 0

$A = P * ( 1 + r ) ^{t} \\ A = 7,650 * ( 1 + \frac{0.05}{4y}) ^{9*4}= \\ =7,650 * 1.0125 ^{36}= \\ 7,650 * 1.56394 =11,964.17$
Response:
A ) $11,964.17