1) Find the accumulated amount A, if the principal P is invested at an interest rate of r per year for t years. (Round your answer to the nearest cent.) P = $18,000, r = 7%, t = 10, compounded quarterly 2) Find the interest rate needed for an investment of $2000 to grow to an amount of $3500 in 4 years if interest is compounded monthly. (Round your answer to the nearest hundredth of a percentage point.) 3) How long will it take $12,000 to grow to $15,000 if the investment earns interest at the rate of 5%/year compounded monthly? (Round your answer to one decimal place.) 4) Find the interest rate needed for an investment of $9,000 to quadruple in 13 years if interest is compounded annually. (Round your answer to the nearest hundredth of a percentage point.)
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For this problem, P = $18,000, r = 7% = 0.07, t = 10 years, and n = 4 (since it's compounded quarterly). So, A = 18000(1 + 0.07/4)^(4*10) = $35,653.29 2) Show more…
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