Question

$1972 invested for 12 years at 4% compounded
quarterly

Answer 1

Answer:

F= $3179.31

Step-by-step explanation:

$F=P(1+i)^{n}$

Here

F= future value after 12 year

P = present value

i = interest

n= number compound on money

So P =$1972 i= 4% and n = 12 x 4= 48

Here as it is compounded quarterly so i= 4%/4=1%=0.01

$F=1972(1+0.01)^{48}$

$F=1972(1.01)^{48}$

$F=1972(1.61)$

F= $3179.31