SARHA,BETH,ALICE, AND AL WOULD LIKE TO GO TO ITALY IN 5 YEARS.THEY ESTIMATE THE TOTAL COST WOULD BE $7000. EVERYONE INVESTED $1450 in the same savings account paying 4.5% interest with a compunded semiannually.
2006-08-26 04:04:25 · 5 answers · asked by colecole1979 1 in Education & Reference ➔ Homework Help
please help the answers people gave me were incorrect.
2006-08-26 05:09:51 · update #1
4.5% interest compounded seminannually is 4.5%/2 = 2.25% seminannually.
5 years has 10 semiannual compounding periods.
In 5 years they will have (4)(1450)(1.0225^10)=7245 which is enough money.
2006-08-26 04:49:40 · answer #1 · answered by fcas80 7 · 0⤊ 0⤋
make your question very clear,what you want to know,the total money in their account after 5 yrs,or what time does it take to make 7000,if interest is 4.5%? so complete you question
2006-08-26 11:22:52 · answer #2 · answered by manoj p 2 · 0⤊ 0⤋
Well, you need to know what the problem is asking for. Is it asking if they will have enough after 5 years?
2006-08-26 11:09:58 · answer #3 · answered by Live4theWeekend 4 · 0⤊ 0⤋
They'll have 7227 dollars and 85 cents by the time five years are up, so yes, they can go to Italy. Next time please make your question clearer; I can't tell what you want your result to look like.
2006-08-26 11:07:36 · answer #4 · answered by Anonymous · 0⤊ 0⤋
the only person who got the question correct was fcas80. everyone else is wrong. Use the answer that fcas80 provided.
2006-08-26 20:23:11 · answer #5 · answered by jaymay2008 3 · 0⤊ 0⤋