I decided to put in bank $1,000 a quarter for the next
four years paying 12% interest compounded quarterly, How much will I have at
end of 4th year rounded to nearest whole dollar?
Thank you for the opportunity to help you with your question!
If you are going to keep $1000
yearly 12% = 1000 * 12/100
after 4 years the interest will be 120*4 = 480
so the total money = $1000 + $480
this answer is not one of the mutiple choice given
ok give me 5 minutes i will tell you
I am putting $1000 a quarter in the bank for the next 4 years
so the bank is paying 12 % quarterly , So so for each four months you get $120
in a year 3*120 = 360
for four years = 360*4 = 1440
the total money you get after 4 years by giving you 12% compound interest quarterly is = 1000 + 1400 = $2400
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