Problema Solution
Manually calculate the compound interest on an investment of $8,500 at 6% interest, compounded semiannually, for 18 months. (Points : 2)
Answer provided by our tutors
amount= p(1+r/100)^n
= 85000(1+3/100)^3
= 85000 * 103/100 * 103/100 * 103/100
= 92881.7
compound interest = amount - principal
= 92881.7 - 85000
= $7881.7