Question

1 of 15 (0 complete) An investment of $3300 earns interest at 6.6% per annum compounded annually for four years. At that time the interest rate is changed to 7% compounded semi-annually. How much will the accumulated value be three-and-a-half years after the change? The accumulated value is $. (Round the final answer to the nearest cent as needed. Round all intermediate values to six decimal places as needed.) ndal

Answer 1

Gwen Principle, P - $ 3300 rate of interest, p= 6.6% for annum After 12 years the the value will Interest Now, 3.3 be a $ 3309 x / x but 108.9 be After year the principle will ($ 3300 + $108.9) $ 3408.9 rate of interest, Now, semi annually . Total value will be accumutate 3 h 2 years me 70% accumutated in 2 2 2 2 x 2 2000 $ 340 8.9 *(1+ 3408.9 (2000) 7 6 $ 3408.9 x 1.2723 $ 433 7.0 72779