amount is $ 15,000 with a 4.5% interest per year, if the interest is compounded semi annually , A(t) represents the balance in the account after t years.Find the balance after 12 years. Using
A(t) =P . [ (1+ r/n)^nt ]
A(t) =P . [ (1+ r/n)^nt ]
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P [ (1+ r/n)^nt ]
P = 15,000
r = 0.045
n = 2
t = 12
15000*(1 + 0.045/2)^(2*12) = 25,586.50
Nothing wrong with your formula, continuous compounding would only give 25,740.10.
Not much of a difference.
P = 15,000
r = 0.045
n = 2
t = 12
15000*(1 + 0.045/2)^(2*12) = 25,586.50
Nothing wrong with your formula, continuous compounding would only give 25,740.10.
Not much of a difference.
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your compound interest formula is wrong.
A(t) --->P[(1+(r/100))^n] ---> 15000[ (1+ 0.045)^24] ---> $43140.21
A(t) --->P[(1+(r/100))^n] ---> 15000[ (1+ 0.045)^24] ---> $43140.21
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15000[ (1+ 0.0225)^24] ---> $25,586.50