Answer:
Option B - $ 11,200
Step-by-step explanation:
Given : Sophie deposited money into an account in which interest is compounded semiannually at a rate of 3.2%. She made no other deposits or withdrawals and the total amount in her account after 7 years was $13,987.17.
To find : The money deposited
Solution :
Formula to find Compound interest is
\(A=P(1+r)^t\)
P is the principle value
Where A is the amount = $13,987.17
Rate = 3.2%=0.032
Time = 7 years
Compounded semiannually,
Rate became @@MATH_TOKEN_1@@
Time became @@MATH_TOKEN_2@@
Substitute in the formula,
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Approximately P=$11200
Therefore, Option B is correct.
