Quantcast

A community for students. Sign up today!

Here's the question you clicked on:

55 members online
  • 0 replying
  • 0 viewing

Adorkable

  • one year ago

Compound Interest Joshua invests $2000 at an annual interest rate of 6.05%, compounded semi-annually. He needs to make his investment grow to $2400 determine the time this will take. Please explain and show work thanks!

  • This Question is Closed
  1. cammyabbo
    • one year ago
    Best Response
    You've already chosen the best response.
    Medals 0

    you will use the compound interest formula, semi annual is twice a year

  2. cammyabbo
    • one year ago
    Best Response
    You've already chosen the best response.
    Medals 0

    you're given the amount of the investment plus interest, so all you do is solve for t, which is years

  3. cammyabbo
    • one year ago
    Best Response
    You've already chosen the best response.
    Medals 0

    \[2400=2000(1+\frac{ r }{ c })^{tc}\]

  4. cammyabbo
    • one year ago
    Best Response
    You've already chosen the best response.
    Medals 0

    r=annual rate (0.0605) c=times compounded per year (2) t=time in years (solve for t)

  5. Not the answer you are looking for?
    Search for more explanations.

    Search OpenStudy
    • Attachments:

Ask your own question

Ask a Question
Find more explanations on OpenStudy

Your question is ready. Sign up for free to start getting answers.

spraguer (Moderator)
5 → View Detailed Profile

is replying to Can someone tell me what button the professor is hitting...

23

  • Teamwork 19 Teammate
  • Problem Solving 19 Hero
  • You have blocked this person.
  • ✔ You're a fan Checking fan status...

Thanks for being so helpful in mathematics. If you are getting quality help, make sure you spread the word about OpenStudy.

This is the testimonial you wrote.
You haven't written a testimonial for Owlfred.