Answer:
The value of the investment is $19229.39
Step-by-step explanation:
Given : Maggs invests $10,250 at a rate of 9%, compounded weekly. The investment is after 7 years.
To find : The value of the investment ?
Solution :
Using compound interest formula,
\(A=P(1+\frac{r}{n})^{nt}\)
Where A is the amount
P is the principle P=10,250
r is the rate r=9%=0.09
t is the time t= 7 years
Number of weeks in a year =52
n=52
Substitute the value,
\(A=P(1+\frac{r}{n})^{nt}\)
\(A=10250(1+\frac{0.09}{52})^{52\times 7}\)
\(A=10250(1+0.001730)^{364}\)
\(A=10250(1.001730)^{364}\)
\(A=10250(1.876039)\)
\(A=19229.39\)
Therefore, The value of the investment is $19229.39
