What does PV stand for?
Present Value
What does FV stand for?
Future Value
What is the formula for compound interest?
A = P(1 + r/n)^(n*t)
Eduardo invests $6,864 in a savings account with a fixed annual interest rate of 7% compounded quarterly. How long will it take for the account balance to reach $12,817.88?
9 years
What is compound interest?
Compound interest is interest based on both the initial principal and the accumulated interest.
Chelsea invests $6,316 in a savings account with a fixed annual interest rate compounded quarterly. After 4 years, the balance reaches $6,840.22. What is the interest rate of the account?
2%
Julio invests a sum of money in a retirement account with a fixed annual interest rate of 8% compounded quarterly. After 15 years, the balance reaches $17,628.98. What was the amount of the initial investment?
$5,373
When compounding quarterly, how many times is that a year?
4
Ashley invests $5,771 in a retirement account with a fixed annual interest rate of 9% compounded monthly. How long will it take for the account balance to reach $24,227.11?
16 years
Carlos invests $1,712 in a retirement account with a fixed annual interest rate compounded quarterly. After 18 years, the balance reaches $3,504.63. What is the interest rate of the account?
4%
Natalie invests $8,387 in a retirement account with a fixed annual interest rate of 6% compounded semiannually. What will the account balance be after 16 years?
$21,597.22
Lea invests a sum of money in a savings account with a fixed annual interest rate of 7% compounded weekly. After 9 years, the balance reaches $4,014.70. What was the amount of the initial investment?
$2,460.32
When compounding monthly, how many times is that a year?
12
Amy invests $2,124 in a savings account with a fixed annual interest rate of 9% compounded monthly. What will the account balance be after 7 years?
$3,978.68