Select the formulas that give the amount P in the account after the first period.

a.) P=1.005Po

b.) P=1.02Po

c.) P=Po (0.02/4)

d.) P=Po (4.02/4)

e.) P=Po (1 + 0.02/4)

Question

Mathematics

Imani Chen

9 September, 23:20

Select the formulas that give the amount P in the account after the first period.

a.) P=1.005Po

b.) P=1.02Po

c.) P=Po (0.02/4)

d.) P=Po (4.02/4)

e.) P=Po (1 + 0.02/4)

+1

Answers (1)

Know the Answer?

Kelly Park · Answer 1

The amount is calculated by the formula

P=Po (1+r/100) ^n, where r is the rate of interest, Po is the principal amount and n is the interest period.

In this case, r = 0.02, p. a

Therefore, for the first quarter, r = 0.02/4 or 0.005

Hence the amount after the first quarter or period will be

P = 1.005Po or

P = Po (1+0.02/4)

Hence, the answer is either a or d

Select the formulas that give the amount P in the account after the first period.a.) P=1.005Pob.) P=1.02Poc.) P=Po (0.02/4)d.) P=Po (4.02/4)e.) P=Po (1 + 0.02/4)

Select the formulas that give the amount P in the account after the first period.

a.) P=1.005Po

b.) P=1.02Po

c.) P=Po (0.02/4)

d.) P=Po (4.02/4)

e.) P=Po (1 + 0.02/4)