How do i solve this investment question ?
Question:
the formula is A = P(1 + r/n) ^nt
i got 4000 ( 1.0125) ^ 24
the choices are:
1. $5389.40
2. $25222.69
3. $4881.56
4. $4885.61
but im not getting one of those answers...please help..
Answer:
I get 1. $5389.40
Perhaps you should do 1.0125^24 first, and then multiply the result by the 4000.
Remember order of operations, you need to bring 1.0125 to the 24th power before multiplying.
4000(1.34735)
5389.40
it's number one
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