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What is the future value of $5000 invested at a 7% interest rate compounded quarterly for 3 years? a) $6144.57 b) $6215.23 c) $6300.00 d) $6405.12

Question

What is the future value of $5000 invested at a 7% interest rate compounded quarterly for 3 years? a) $6144.57 b) $6215.23 c) $6300.00 d) $6405.12
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Solution 1

To calculate the future value of an investment compounded quarterly, you can use the formula:

FV = P * (1 + r/n)^(nt)

where:

  • FV is the future value of the investment
  • P is the principal amount (the initial amount of money)
  • r is the annual interest rate (in decimal form)
  • n is the number of t Knowee AI is a powerful AI-powered study tool designed to help you to solve study problem.
Knowee AI  is a powerful AI-powered study tool designed to help you to solve study problem.
Knowee AI  is a powerful AI-powered study tool designed to help you to solve study problem.
Knowee AI  is a powerful AI-powered study tool designed to help you to solve study problem.
Knowee AI  is a powerful AI-powered study tool designed to help you to solve study problem.
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