John James lent Mel Karras $8,000 to open a pottery shop. Mel will repay John at the end of five years with interest, compounded quarterly, at 8%. How much will John receive at the end of five years?

Name: John James lent Mel Karras $8,000 to open a pottery shop. Mel will repay John at the end of five years with interest, compounded quarterly, at 8%. How much will John receive at the end of five years?
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Quizplus · Accepted Answer

8% / 4 = 2%, 5 × 4 = 20; $8,000 × 1.4859 = $11,887.20.

John James Lent Mel Karras $8,000 to Open a Pottery