Use the Compound Interest Table to Calculate the Compound Interest

question 32

Multiple Choice

Use the compound interest table to calculate the compound interest on Corrine s principal of $3,000 at 6% compounded quarterly for two years. $\begin{array}{rccccccc}\hline n & 0.5 \% & 1 \% & 1.5 \% & 2 \% & 3 \% & 4 \% & 5 \% \\\hline 1 & 1.00500000 & 1.01000000 & 1.01500000 & 1.02000000 & 1.03000000 & 1.04000000 & 1.05000000 \\2 & 1.01002500 & 1.01010000 & 1.03022500 & 1.04040000 & 1.06090000 & 1.08160000 & 1.10250000 \\3 & 1.01507513 & 1.03030100 & 1.04567837 & 1.06120800 & 1.09272700 & 1.12486400 & 1.15762500 \\4 & 1.02015050 & 1.04060401 & 1.06136355 & 1.08243216 & 1.12550881 & 1.16985856 & 1.21550625 \\5 & 1.02525125 & 1.05101005 & 1.07728400 & 1.10408080 & 1.15927407 & 1.21665290 & 1.27628156 \\6 & 1.03037751 & 1.06152015 & 1.09344326 & 1.12616242 & 1.19405230 & 1.26531902 & 1.34009564 \\7 & 1.03552940 & 1.07213535 & 1.10984491 & 1.14868567 & 1.22987387 & 1.31593178 & 1.40710042 \\8 & 1.04070704 & 1.08285671 & 1.12649259 & 1.17165938 & 1.26677008 & 1.36856905 & 1.47745544 \\9 & 1.04591058 & 1.09368527 & 1.14338998 & 1.19509257 & 1.30477318 & 1.42331181 & 1.55132822 \\10 & 1.05114013 & 1.10462213 & 1.16054083 & 1.21899442 & 1.34391638 & 1.48024428 & 1.62889463\end{array}$ $$\begin{array} { c } \hline 6 \% \\\hline 1.06000000 \\1.12360000 \\1.19101600 \\1.26247696 \\1.33822558 \\1.41851911 \\1.50363026 \\1.59384807 \\1.68947896 \\1.79084770\end{array}$$

• A) $285.39
• B) $379.48
• C) $1,781.54
• D) $3,379.49

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