Andy deposits $5000 into an account where intrerest is compounded biweekly. After five years, andy has $6,600 in the account. What was the interest rate on the account?
In compound interest, interest is added back to the principal sum so that interest is earned on that added during the next compounding period. That is, compound interest will give an interest on the interest. The interest payments will change in the time period in which the initial sum of money stays in the bank or with the barrower.
The general formula for compound interest is,
A = P * (1 + r/n)nt
A is the future value of the investment loan including the loan,
P is the principle amount,
r is the annual interest rate in decimals,
n is the number of times interest is compounded per year,
t is the time of years the money is invested or borrowed.
Find the interest rate on Andy’s account:
The invested amount is $5,000 and the interest is compounded biweekly.
The aim is to know the rate of interest if Andy has $6,600 in his account after 5 years.
The principal amount is P = $5,000,
The future value of the investment loan including the loan is A = $6,600,
The number of times int...
Our solutions are written by experts, many with advanced degrees, and available 24/7See Solution
Q: The worldwide sales in millions of hand-held PCs can be modeled by the function P(x) 1.85(x 1998) + ...
A: The given sales function is P ( x ) =1.85(x–1998)+4.
Q: Use the Intermediate Value Theorem to show that the polynomial f(x) =2x"-11x +4 has a real: zero bet...
A: We have to find f(-2) f(-2)=-8
Q: A car rental company charges an initial fee plus an additional fee for each mile driven. The charge ...
A: The charge to rent economy car is given by the function,
Q: (x+9)/8 = 5/4 +(x-3)/2
A: To calculate the value of x from the provided equation which is shown below,
Q: The number of bacteria in a certain population increases according to a continuous exponential growt...
A: To use the given data (exponential model) to determine the initial data
Q: graph the parabola y=(x-5)2-2
A: Consider the given equation
Q: Find the difference quotient and simplify your answer. f(x) = 5x – x2, f(6 + h)-f(6)/h , h ≠ 0 ...
A: To find the difference quotient.The given function is f(x) = 5x – x2.Find f(6+h) and f(6) .
A: To simplify the expression, the PEMDAS rule is used.PEMDAS stands for Parenthesis, Exponents, Multip...
Q: Simplify the difference quotient x)-fa) for the following function. x-a 3 f(x)x 8X
A: Firstly, we find f(a) by replacing x by a in f(x). < Then substitute the values of f(x) and f(a)....
Sorry about that. What wasn’t helpful?