Find the accumulated value of an investment of $ 15,000 for 5 years at an interest rate of 5.5 %if the money is
a. compounded semiannually;
b. pounded quarterly;
c. pounded monthly
d. compounded continuously.

The accumulated value of the investment after 5 years is

a. Compounded semiannually: $19,675

b. Compounded quarterly: $19,711

c. Compounded semiannually: $19,735

d. Compounded continuously: $19,747

Explanation:

Formula for a. b. c. : Future Value (FV) =

Formula for c: FV =

Where:

a. Compounded semiannually: n=2 => FV = 15,000 * [1+(5.5%/2)]^(2*5) = $19,675

b. Compounded quarterly: n=4 => FV = 15,000 * [1+(5.5%/4)]^(4*5) = $19,711

c. Compounded semiannually: n=12 => FV = 15,000 * [1+(5.5%/12)]^(12*5) = $19,735

d. Compounded continuously: FV = 15,000 * e^(5.5%*5) = $19,747

answer; im thinking the correct answer is (7years);