Math

Josh's grandparents established a college fund for him when he was born. They deposited $8,200 into an account that earned 9.88% interest. Assuming Josh goes to college at age 18, how much money will he have if...

a) ... the interest is calculated only once during the entire loan?

b) ... the interest is compounded weekly?

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  1. a) ridiculous question ! , makes no sense
    the "arithmetic" would be 8200(1.0988) = ....

    b)
    weekly rate = .0988/52 = .0019
    number of weeks in 18 years = 936

    amount = 8200(1.0019)^936 = $48,465.24

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  2. a) 8200 × 0.0988 × 18 = $14582.88
    8200 + 14582.88 =

    $22782.88 -correct

    b) 8200(1.0019)^936 =

    $48,465.24 -correct

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