For Exercises 11–16, suppose that P dollars in principal is invested at an annual interest rate r. For interest compounded n times per year, the amount
Suppose an investor deposits $15,000 in an account for 8 yr at 5.0% interest. Find the total amount of money in the account for the following compounding options. Compare your answers. How does the number of compound periods per year affect the total investment?
a. Compounded annually
b. Compounded quarterly
c. Compounded monthly
d. Compounded daily
e. Compounded continuously
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Beginning and Intermediate Algebra
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