Business Finance
Business and Finance

Question Description

I’m stuck on a Business question and need an explanation.

A business person invest $3281 at 2% compounded semiannually for 2 years. What is the future value of investment? How much interest will be earned over a two year period? Round to nearest cent as needed.

Student has agreed that all tutoring, explanations, and answers provided by the tutor will be used to help in the learning process and in accordance with Studypool's honor code & terms of service.

Final Answer


  = 3281(1+1/100)^4

   = 3281(101/100)^4


   =3281 *1.040

   = 3412.24

future value $ 3412

interest = amount - principal


            =$ 131

whgrab (11482)
Duke University

Top quality work from this tutor! I’ll be back!

Just what I needed… fantastic!

Use Studypool every time I am stuck with an assignment I need guidance.


Brown University

1271 Tutors

California Institute of Technology

2131 Tutors

Carnegie Mellon University

982 Tutors

Columbia University

1256 Tutors

Dartmouth University

2113 Tutors

Emory University

2279 Tutors

Harvard University

599 Tutors

Massachusetts Institute of Technology

2319 Tutors

New York University

1645 Tutors

Notre Dam University

1911 Tutors

Oklahoma University

2122 Tutors

Pennsylvania State University

932 Tutors

Princeton University

1211 Tutors

Stanford University

983 Tutors

University of California

1282 Tutors

Oxford University

123 Tutors

Yale University

2325 Tutors