Posted by **Cherie** on Friday, May 7, 2010 at 10:14am.

An initial investment of $480 is invested for 4 years in an account that earns 16% interest, compounded quarterly. What is the amount of money in the account at the end of the period?

- Algebra -
**drwls**, Friday, May 7, 2010 at 11:49am
At 16% interest compounded quarterly, the value of the account increases by a factor 1.04 every three months. That is becasue 1/4 of 16% is (4%) added to it. Four years is 16 quarters. The value of the account is then

$480.00*(1.04)^16 = $899.03

- Algebra -
**Kimberly**, Monday, December 20, 2010 at 6:46pm
invest 23,000 in a saving account 4.25 interest compouned quartley

- Algebra -
**oscar**, Monday, December 20, 2010 at 8:47pm
59943.75

## Answer This Question

## Related Questions

- algebra - An initial investment of $480 is appreciated for 7 years in an account...
- UOG - An initial investment of $12,000 is invested for 2 years in an account ...
- pre calc - An initial investment of $12,000 is appreciated for 5 years in an ...
- Math - An initial investment of $1000 is appreciated for 8 years in an account ...
- math - An initial investment of $1240 is appreciated for 17 years in an account ...
- college math - An initial investment of $1000 is appreciated for 4 years in an ...
- Algebra - Use the compound interest formula $18,000 is invested in an account ...
- Maths B - Kate is thinking about investing $45000 for 5 years. She deposits her ...
- Math - Using the compound interest formula A = P (1+ ((r)/ (n)) ^nt Find the ...
- Math - Use the compound interest formula to solve: $18,000 is invested in an ...

More Related Questions