possible solutions from book...
a. $14,898
b. $18,140
c. $18,180
d. $20,976
e. $25,633
f. $28,318
g. $37,453
h. none of these
2007-05-06 09:59:19 · 3 answers · asked by chris 2 in Science & Mathematics ➔ Mathematics
A = P(1+r/n)^nt
A = 10000(1+.05/2)^2*15
A = 10000(1.025)^30
A = 20975.68
answer D
2007-05-06 10:05:55 · answer #1 · answered by hrhbg 3 · 1⤊ 0⤋
dont have a calculator with me (or on my computer) but this is it:
10000(1.05)^30= final value
the reason it is 30 is because it is semiannual
I noticed that since it is "compounded", my answer may actually be wrong, but I'm sure it is right.
I have noticed from the other answers that the .05 is divided by 2. i understood it that there is .05 interest every 6 months. So is this wrong?
2007-05-06 17:07:27 · answer #2 · answered by sum1 2 · 0⤊ 0⤋
A 5% interest corresponds to =2.5% semi annually.
C=10.000(1.025)^30= $20,976 (d)
2007-05-06 17:15:55 · answer #3 · answered by santmann2002 7 · 0⤊ 0⤋