CA_GPS_31 - k r 1 If $4,400 is invested for t years at 6...

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Rev. S08 COLLEGE ALGEBRA NAME: ________________________________ GPS # 31 3.5 EXPONENTIAL FUNCTIONS AND INVESTING Class Time: ____________ Date: __________ Useful Guidelines: If P is the amount invested at an interest rate r per year, the future value S at the end of t years is * t r P S ) 1 ( + = , with annual compounding. * kt k r P S ) 1 ( + = , with periodic compounding. [Periodic compounding: the interest is compounded k times per year and the interest rate per period is
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Unformatted text preview: k r .] 1. If $4,400 is invested for t years at 6% interest compounded annually, find the future value that results in a) 10 years b) 20 years 2. If $20,000 is invested at 8% interest compounded quarterly, find the future value in a) 20 years b) 30 years 3. If $5,000 is invested at 12% interest compounded monthly, find the interest earned in 10 years....
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