+0  
 
0
639
2
avatar

An investment of \(\$24,\!000\) is made in a government bond that will pay\( 1\%\) bi-monthly interest (meaning that the investment will increase by \(1\%\) every two months). At the end of five years, what is the total number of dollars in this investment? Express your answer to the nearest whole number.

 

Thx in advance

-wolf

 Aug 30, 2019
 #1
avatar+128408 
+1

We have six interest periods within a year....so we have  5 * 6  =  30 interest compoundings

 

So....after 5 years we have

 

24000(1.01)^(5 * 6)   =  24000(1.01)^30 ≈  $32,348

 

 

 

cool cool cool

 Aug 30, 2019
 #2
avatar
+1

THX SO MUCH :)

-wolf

 Aug 30, 2019

5 Online Users

avatar
avatar
avatar
avatar
avatar