Question

Question #faad6

Answer 1

Total amount is `$1657.24;(c)`

Explanation:

Principal `P=$1500` , Rate of interest is `2.5%:. r=2.5/100=.025`

Compounded quarterly `:.n=4` , time period `t=4`

Final amount : `A= P(1+r/n)^(nt)`

`:. A= 1500(1+.025/4)^(4*4)`

`:. A= 1500(1+.025/4)^(4*4) = 1500*1.00625^16`

`:.A~~ $1657.24(2dp)`

Total amount is `$1657.24(2dp);(c)` [Ans]