n investment account with an annual interest rate of 7% was opened with an initial deposit of $4,000. Compare the values of the account after 9 years when the interest is compounded annually, quarterly, monthly, and continuousl

n investment account with an annual interest rate of 7% was opened with an initial deposit of $4,000. Compare the values of the account after 9 years when the interest is compounded annually, quarterly, monthly, and continuousl

College Algebra

1st Edition

ISBN:9781938168383

Author:Jay Abramson

Publisher:Jay Abramson

Chapter6: Exponential And Logarithmic Functions

Section6.1: Exponential Functions

Problem 68SE: An investment account with an annual interest rateof 7 was opened with an initial deposit of 4,000...

See similar textbooks

Related questions

Q: Five years ago,Austin invested $7000 at an annual interest rate of 6%, compounded quarterly. He now…

A: Five years ago, Austin invested $7000 at an annual interest rate of 6%, compounded quarterly. He now…

Q: Barry made a deposit of 10,000 at time 0 to Fund A, which accumulates at a nominal rate of interest…

A: Given: Barry made a deposit of 10000 at time 0 to Fund A, which accumulates at a nominal rate of…

Q: A newborn child receives a $5,000 gift towards a college education from her grandparents. How much…

A: Given that A newborn child receives a $5,000 gift towards a college education from her…

Q: A) An investor doubled the money in his IRA during the time period 1990-1996. Assuming that he was…

Q: Find the time required for an investment of 5000 dollars to grow to 7700 dollars at an interest rate…

A: Given: Principal amount = $5000 Final Amount = $7700 Interest rate = 5.5% Compounded Quaterly.…

Q: In its first 10 years a mutual fund produced an average annual return of 21.46%. Assume that money…

Q: A graduate gets a good job and decides to save $200 per month into a 401K fund on payday, the last…

Q: If $24,000 is invested for 23 years and earns 9.5% interest, compounded continuously, the…

A: The accumulated amount is A=PertP is initial investmentt is time in yearsr is interest rate

Q: Assume that a savings account earns interest at a rate of 3% compounded quarterly. If this account…

Q: The parents of a child wish to establish a trust fund for the child’s college education. If they…

A: Compound Interest Formula: (compounded continuously) A = P·er·t where t is the time period in years…

Q: A bank pays interest at the rate of 6% per year, compounded monthly. If a person deposits $2500 in a…

Q: An Investment of $10,000 yields 8% interest compounded quarterly. What will be the accumulated…

Q: Evelyn is going to invest $3,500 and leave it in an account for 16 years. Assuming the interest is…

A: The principal amount Evelyn is going to invest is: $3,500 Time period: t = 16 years Interest is…

Q: Suppose that you have $6000 to invest. Which investment yields the greater return over 4 years:…

Q: If I invest $25,000 in a savings account which has a 5.75% interest rate and is compounded…

Q: What amount must be invested now to have $12,000 after 3 years if money is worth 6% compounded…

Q: Investment in Sunrise Company is P 100,000 at the end of 5 years plus P 24,000 annually for 4 years…

Q: An investment fund pays 5% per year, compounded semi-annually, on all money invested. How much must…

Q: $500 invested at 9% compounded quarterly after a period of 2 years. After 2 years, the investment…

Q: Tom deposits $25,000 in a savings deposit paying 5%, compounded monthly. What amount would he have…

A: Given that ,principal amount that investedP=$25,000the rate of interest r=5%=5100=0.05time in…

Q: For an interest rate of effective 18% per year, compounded monthly, the effective monthly rate is…

A: The effective monthly rate = 18% divided by 12 months = 1.5% per month.

Q: Jackson deposited $5,000 at 3.6% interest rate, compounded continuously when he was 18 years old.…

Q: Find the amount that results from the given investment. $300 invested at 6% compounded quarterly…

Q: A person needs $15 000 for a down payment on a car. If the person invests $10 000 at 9% interest,…

A: Given A=15000 P=10000 r=9%=0.09

Q: Suppose that you have opened a saving account with an initial deposit of $8,000. The account offers…

Q: accumulated

A: Please refer to the image below

Q: Find the amount that results from the given investment. $700 invested at 3% compounded quarterly…

A: If P is investment amount, ris rate as a decimal, n is number of compoundings per year and t is time…

Q: A mother is investing $500,000 in a trust fund from which her three children are to receive equal…

A: To find the original amount each child receive

Q: A sum of 5,000 dollars is invested at an interest rate of 8 and 1/2% per year, compounded…

Q: Approximately how much money would Manny have if he invested $1,200 at an interest rate of 5% for 7…

Q: young man is the beneficiary of a trust fund established for him 21 years ago at his birth. If the…

Q: (a) Martha invests an amount of $10000 at 3.5% compounded quarterly. What is the value of her…

Q: If an annual interest rate is 12% and is compounded monthly, then what is the interest rate per…

A: NOTE: Refresh your page if you can't see any equations. . the annual rate is 12% and is compounded…

Q: If the bank advertises its rate as 6.2% compounded monthly, and another bank advertises its rate as…

A: Given: One bank advertises its rate as 6.2% compounded monthly and another bank advertises its rate…

Q: you deposit $500 in an investment with an APR of 6% and continuous compounding, the balance after…

Q: A company needs $8,000,000 in 5 years in order to expand their factory. How much should the company…

A: Given amount=$8000000 t=5 years Rate=6.6%=6.6/100=0.066 Compound weekly means n=52 (weeks) in a…

Q: A company needs $4,600,000 in 11 years in order to expand their factory. How much should the company…

Q: At the end of t years, the future value of an investment of $40,000 at 7%, compounded annually,…

A: I am going to solve the given problem by using some simple algebra to get the required result.

Q: Ahmed invested $1,542 in a savings account, and three and a half years later his investment amounted…

A: This question is related to compound interest, We will solve it using given information.

Q: Find the amount at the end of 5 years and 6 months if P8,000 is invested at 29% compounded…

Q: f $6000 is deposited into an account earning compound interest at an annual interest rate of 3% for…

Q: a)What rate of interest compounded annually is needed to make an investment of $6,500 accumulate to…

Q: you want to retire with $1,500,000 in 40 years and can earn a rate of 10.8% with monthly…

A: We can find pmt using Excel .

Q: Suppose that you have $5000 to invest. Which investment yields the greater return over 5 years: 5.5%…

Q: suppose you invest $6000. Which investment yields the greater return over 4 years 8.25% compounded…

Q: For the 2009 fiscal year, Lowe's Companies, Inc. reported an annual net income of $48,230,000.…

A: Given: For the 2009 fiscal year, Lowe's Companies, Inc. reported an annual net income of…

Q: 200 invested at 5% compounded quarterly after a period of 3 years

Q: Investment in Sunrise Company is P100,000 at the end of 5 years plus P24,000 annually for 4 years…

Q: If $18,000 is invested at 6% compounded monthly, what is the amount after 5 years?

A: Answer to question 1. The principal amount is, P = $18,000. The interest rate is r = 6%. The number…

Question

An investment account with an annual interest rate of 7% was opened with an initial deposit of $4,000. Compare the values of the account after 9 years when the interest is compounded annually, quarterly, monthly, and continuously.

Expert Solution