If $10,000 is invested at an annual rate of 11%, compounded quarterly, find the value of the investment after the given number of years.
a) 5 years b) 10 years c) 15 years

Answers

Answer 1

Answer:

[tex]a) A\simeq17204.28[/tex]

[tex]b) A\simeq29598.74[/tex]

[tex]c)A\simeq50922.51[/tex]

Step-by-step explanation:

The amount formula in compound interest is:

[tex]A=P(1+\frac{r}{n} )^{nt}[/tex]

where:

P = principal amount

r = annual interest

n = number of compounding periods

t = number of years

We already know that:

P = $10000

[tex]r = 11\% = \frac{11\%}{100\%}=0.11[/tex]

n = 4 (quarterly in a year)

a ) t = 5 years

[tex]A=10000(1+\frac{0.11}{4} )^{(4)(5)}\\\\A=10000(1+\frac{0.11}{4} )^{20}\\\\A=17204.28431\\\\A\simeq17204.28[/tex]

b) t = 10 years

[tex]A=10000(1+\frac{0.11}{4} )^{(4)(10)}\\\\A=10000(1+\frac{0.11}{4} )^{40}\\\\A=29598.73987\\\\A\simeq29598.74[/tex]

c) t = 15 years

[tex]A=10000(1+\frac{0.11}{4} )^{(4)(15)}\\\\A=10000(1+\frac{0.11}{4} )^{60}\\\\A=50922.51361\\\\A\simeq50922.51[/tex]

Answer 2

Answer:

Solution given;

principal [p]=$10000

rate[r]=11%

time[t]= 5 years

we have

compound amount quarterly =P(1+r/400)^4t

=$10000(1+11/400)^4×5=$17204.28431


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Step-by-step explanation:

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STEP

1

:

           1

Simplify   —

           3

Equation at the end of step

1

:

  3         1      

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  2         3      

STEP

2

:

Rewriting the whole as an Equivalent Fraction

2.1   Subtracting a fraction from a whole

Rewrite the whole as a fraction using  3  as the denominator :

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         1       3  

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2.2       Adding up the two equivalent fractions

Add the two equivalent fractions which now have a common denominator

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Equation at the end of step

2

:

  3   (3x - 1)      

 (— • ————————) -  -5x  > 0  

  2      3          

STEP

3

:

           3

Simplify   —

           2

Equation at the end of step

3

:

  3   (3x - 1)      

 (— • ————————) -  -5x  > 0  

  2      3          

STEP

4

:

Equation at the end of step

4

:

 (3x - 1)    

 ———————— -  -5x  > 0  

    2        

STEP

5

:

Rewriting the whole as an Equivalent Fraction :

5.1   Subtracting a whole from a fraction

Rewrite the whole as a fraction using  2  as the denominator :

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           1         2    

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        2                 2    

The equation at the end of step

5

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STEP

6

:

6.1    Multiply both sides by  2  

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Answers

Answer:

a=1

Step-by-step explanation:

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Step-by-step explanation:

since they can drive 3/4 the distance in 3/4 hours, they can also drive 1/2 the distance in 1/2 hours and so on. If they want to visit the grandparent's house, they need to drive 4/4 the distance which is equivalent to 1 so it will take 1 hour for them to go to the house at the same rate.

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sometimes the question tries to trick you to make you overthink it so don't overthink it, try to just solve it simply.

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