If you invest $20 000 today for five years at 8% pa compounded quarterly how much will you have at the end of five years?
A)$28 000.00
B)$22 081.62
C)$29 718.95
D)$29 680.55

Question

Quizplus · Accepted Answer

The future value of an investment compounded quarterly is calculated using the formula: FV = P(1 + r/n)^(nt). Here, P = $20,000, r = 0.08, n = 4, t = 5. Plugging in these values gives FV = $20,000(1 + 0.08/4)^(4*5) = $29,718.95.

If You Invest $20 000 Today for Five Years at 8