Question

Compound Amount

Adrian invests 350,000 at 16% interest compounded quarterly for 7 years. Find the compound amount of Adrian’s investment?

Answer 1

$$A=P(1+\dfrac{r}{n})^{nt}$$

Given

$P=350000$

$r=0.16$

$n=4$

$t=7$

$$A=350000(1+\dfrac{0.16}{4})^{4(7)}$$

$$A= 1,049,546.16$$