## kenneyfamily Group Title How much should Sabrina invest now in a money market account if she wishes to have \$9000 in the account at the end of 10 years? The account provides an APR of 6% compounded quarterly. The formula for compound interest is A = P(1 + r/n)^nt. 2 years ago 2 years ago

1. ganeshie8

plugin the numbers in the given formula. A = 9000, r = .06 n = quaterly compounding = 4 times a year t = 10 years $$\huge 9000 = P(1+\frac{.06}{4})^{(4*10)}$$

2. ganeshie8

@kenneyfamily can you solve for P ?

3. kenneyfamily

do you divide 9000 by 1.814?

4. ganeshie8
5. kenneyfamily

THANK YOU!!!! so helpful

6. ganeshie8

yw !! glad to hear :))