Question no. 3
(a) A sum of $4,000 is invested in a credit union which pays
interest at rate...
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Mathematics, 03.11.2020 14:00 maddynichole2017
Question no. 3
(a) A sum of $4,000 is invested in a credit union which pays
interest at rate of 6% per year compounded quarterly. If the
amount is kept on deposit for 5 years. What will the
compounded amount equals? How much interest will be
earned during the 5 years? (1.5 marks)
(b) If a saving account awards interest of 8% per year compounded
semiannually, what amount must be deposit today in order to
accumulate $150,000 after 15 years? How much interest will
be earned during these 15 years? (1.5 marks)
Please help.
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