# 10.6 Compound Interest

What principal will amount to $3000 if invested at 3% interest compounded semiannually for 10 years? You lend out$5500 at 10% compounded monthly. If the debt is repaid in 18

months, what is the total owed at the time of repayment?

What principal will amount to $3500 if invested at 4% interest compounded quarterly for 5 years? What principal will amount to$1750 if invested at 3% interest compounded

quarterly for 5 years?

Find each of the following:

a. $500 invested at 4% compounded annually for 10 years. b.$600 invested at 6% compounded annually for 6 years.

c. $750 invested at 3% compounded annually for 8 years. d.$1500 invested at 4% compounded semiannually for 7 years.

e. $900 invested at 6% compounded semiannually for 5 years. f.$950 invested at 4% compounded semiannually for 12 years.

g. $2000 invested at 5% compounded quarterly for 6 years. h.$2250 invested at 4% compounded quarterly for 9 years.

i. $3500 invested at 6% compounded quarterly for 12 years. j. All of the above compounded continuously. A thousand dollars is left in a bank savings account drawing 7% interest, compounded quarterly for 10 years. What is the balance at the end of that time? You lend$100 at 10% continuous interest. If you are repaid 2 months later,

what is owed?

An 8.5% account earns continuous interest. If $2500 is deposited for 5 years, what is the total accumulated?$1750 is invested in an account earning 13.5% interest compounded monthly

for a 2 year period. What is the balance at the end of 9 years?

What principal will amount to \$2000 if invested at 4% interest compounded

semiannually for 5 years?