# 10.6 Compound Interest

An 8.5% account earns continuous interest. If $2500 is deposited for 5 years, what is the total accumulated? What principal will amount to$3500 if invested at 4% interest compounded

quarterly for 5 years?

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? 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 $1750 if invested at 3% interest compounded quarterly for 5 years? What principal will amount to$2000 if invested at 4% interest compounded

semiannually for 5 years?

What principal will amount to $3000 if invested at 3% interest compounded semiannually for 10 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.

\$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?