= 5000, = 0.035, = 4, = 20 P r n t = $10,038.15 A b. Compare this return with the same principal compounded weekly for 20 years. Answer in a complete sentence. = 5000, = 0.035, = 52, = 20 P r n t = $10,066.39. A Compounding weekly will a higher future value. c. How much would you have in your account after the 20 years if you invested your $5,000 at 3.75% compounded continuously? Round your answer to the nearest dollar. The accumulated amount, after years in an account with principal invested at an A, t P annual interest rate, compounded continuously is given by = . r, A = 5000, = 0.0375, = 20 P r t = $10,585 A 14) How much money must you invest today if you want to see your money grow to $500,000 in 30 years at 5% annual interest compounded monthly? Round to the nearest dollar. The present value, of an investment that will produce a future value in an account with P, annual interest rate, compounded times per year is given by = r, n P = Awhere A accumulated amount or future value, and = time in years. t = 500000, = 0.05, = 12, = 30 A r n t 500000 $111,913 P =
P = 5000, r = 0.035, n = 4, t = 20 A = $10,038.15 b. Compare this return with the same principal compounded weekly for 20 years. Answer in a complete sentence. P = 5000, r = 0.035, n = 52, t = 20 A = $10,066.39. Compounding weekly will a higher future value. c. How much would you have in your account after the 20 years if you invested your $5,000 at 3.75% compounded continuously? Round your answer to the nearest dollar. The accumulated amount, A, after t years in an account with principal P invested at an annual interest rate, r, compounded continuously is given by A = . P = 5000, r = 0.0375, t = 20 A = $10,585 14) How much money must you invest today if you want to see your money grow to $500,000 in 30 years at 5% annual interest compounded monthly? Round to the nearest dollar. The present value, P, of an investment that will produce a future value in an account with annual interest rate, r, compounded n times per year is given by P = Awhere A = accumulated amount or future value, and t = time in years. A = 500000, r = 0.05, n = 12, t = 30 P = 500000 $111,913