myronbrooks210 myronbrooks210
  • 10-08-2017
  • Mathematics
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You invest $9000 with a 6% interest rate compounded semiannually. After 9 yrs, how much money is in your account?

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jdoe0001 jdoe0001
  • 10-08-2017
[tex]\bf \qquad \textit{Compound Interest Earned Amount} \\\\ A=P\left(1+\frac{r}{n}\right)^{nt} \quad \begin{cases} A=\textit{accumulated amount}\\ P=\textit{original amount deposited}\to &\$9000\\ r=rate\to 6\%\to \frac{6}{100}\to &0.06\\ n= \begin{array}{llll} \textit{times it compounds per year}\\ \textit{semi-annually, thus twice} \end{array}\to &2\\ t=years\to &9 \end{cases} \\\\\\ A=9000\left(1+\frac{0.06}{2}\right)^{2\cdot 9}[/tex]
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