Share
If 42,800 dollars is invested at an interest rate of 5 percent per year, find the value of the investment at the end of 5 years for th
Question
If 42,800 dollars is invested at an interest rate of 5 percent per year, find the value of the investment at the
end of 5 years for the following compounding methods.
What is the
Annual $
Semiannual $
Monthly $
Daily $
Continuously $
in progress
0
Mathematics
3 years
2021-07-23T01:05:09+00:00
2021-07-23T01:05:09+00:00 1 Answers
14 views
0
Answers ( )
Answer:
Annual $54,624.85
Semiannual $54,787.62
Monthly $54,927.75
Daily $54,955.35
Continuously $54,955.35
Step-by-step explanation:
If 42,800 dollars are invested at an interest rate of 5 percent per year, to find the value of the investment at the end of 5 years for the following compounding methods, the following calculations must be performed:
Annual $54,624.85
42,800 (1 + 0.05 / 1)^5×1 = X = 54,624.85
Semiannual $54,787.62
42,800 (1 + 0.05 / 2)^5×2 = X = 54,787.62
Monthly $54,927.75
42,800 (1 + 0.05 / 12)^5×12 = X = 54,927.75
Daily $54,955.35
42,800 (1 + 0.05 / 365)^5×365 = X = 54,955.35
Continuously $54,955.35
42,800 (1 + 0.05 / 365)^5×365 = X = 54,955.35