A money market account of $800 earns 3.0% interest compounded quarterly. What is the equation? O A. A=800(1.0075)4x O B. A= 800(1.03)4x O C. A= 800(1.0075)* O D. A= 800(1.03)*

College Algebra
10th Edition
ISBN:9781337282291
Author:Ron Larson
Publisher:Ron Larson
Chapter1: Equations, Inequalities, And Mathematical Modeling
Section1.6: Other Types Of Equations
Problem 9ECP: You deposit $2500 in a long-term investment in which the interest is compounded monthly. After 5...
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A money market account of $800 eams 3.0% interest compounded quarterly. What is the equation?
O A. A=800(1.0075)**
B. A=800(1.03)4x
O C. A=800(1.0075)*
O D. A=800(1.03)*
Transcribed Image Text:A money market account of $800 eams 3.0% interest compounded quarterly. What is the equation? O A. A=800(1.0075)** B. A=800(1.03)4x O C. A=800(1.0075)* O D. A=800(1.03)*
Expert Solution
Step 1

Principal amount, p=$800Interest rate, r=3.0%=0.03Time, t=xNumber of times interest compunde per year, n=4

 

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