Use the compound interest table to calculate the maturity value of an inheritance of $2,000, using 8% interest, compounded quarterly for 4 years.

\begin{array}{rccccccc}\hline n & 0.5 \% & 1 \% & 1.5 \% & 2 \% & 3 \% & 4 \% & 5 \% \\\hline 1 & 1.00500000 & 1.01000000 & 1.01500000 & 1.02000000 & 1.03000000 & 1.04000000 & 1.05000000 \\2 & 1.01002500 & 1.01010000 & 1.03022500 & 1.04040000 & 1.06090000 & 1.08160000 & 1.10250000 \\3 & 1.01507513 & 1.03030100 & 1.04567837 & 1.06120800 & 1.09272700 & 1.12486400 & 1.15762500 \\4 & 1.02015050 & 1.04060401 & 1.06136355 & 1.08243216 & 1.12550881 & 1.16985856 & 1.21550625 \\5 & 1.02525125 & 1.05101005 & 1.07728400 & 1.10408080 & 1.15927407 & 1.21665290 & 1.27628156 \\\\6 & 1.03037751 & 1.06152015 & 1.09344326 & 1.12616242 & 1.19405230 & 1.26531902 & 1.34009564 \\7 & 1.03552940 & 1.07213535 & 1.10984491 & 1.14868567 & 1.22987387 & 1.31593178 & 1.40710042 \\8 & 1.04070704 & 1.08285671 & 1.12649259 & 1.17165938 & 1.26677008 & 1.36856905 & 1.47745544 \\9 & 1.04591058 & 1.09368527 & 1.14338998 & 1.19509257 & 1.30477318 & 1.42331181 & 1.55132822 \\10 & 1.05114013 & 1.10462213 & 1.16054083 & 1.21899442 & 1.34391638 & 1.48024428 & 1.62889463 \\\\11 & 1.05639583 & 1.11566835 & 1.17794894 & 1.24337431 & 1.38423387 & 1.53945406 & 1.71033936 \\12 & 1.06167781 & 1.12682503 & 1.19561817 & 1.26824179 & 1.42576089 & 1.60103222 & 1.79585633 \\13 & 1.06698620 & 1.13809328 & 1.21355244 & 1.29360663 & 1.46853371 & 1.66507351 & 1.88564914 \\14 & 1.07232113 & 1.14947421 & 1.23175573 & 1.31947876 & 1.51258972 & 1.73167645 & 1.97993160 \\15 & 1.07768274 & 1.16096896 & 1.25023207 & 1.34586834 & 1.55796742 & 1.80094351 & 2.07892818 \\\\16 & 1.08307115 & 1.17257864 & 1.26898555 & 1.37278571 & 1.60470644 & 1.87298125 & 2.18287459 \\17 & 1.08848651 & 1.18430443 & 1.28802033 & 1.40024142 & 1.65284763 & 1.94790050 & 2.29201832 \\18 & 1.09392894 & 1.19614748 & 1.30734064 & 1.42824625 & 1.70243306 & 2.02581652 & 2.40661923 \\19 & 1.09939858 & 1.20810895 & 1.32695075 & 1.45681117 & 1.75350605 & 2.10684918 & 2.52695020 \\20 & 1.10489558 & 1.220190&1.34685501 & 1.48594740 & 1.80611123 & 2.19112314 & 2.65329771\end{array}

You Inherited $1,000 from Your Grandparents and Place This Amount

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Correct Answer:Verified$61.37; 6% ÷ 4 = 1.5%; $1,000 ...View AnswerUnlock this answer nowGet Access to more Verified Answers free of chargeView Full Answer For Free

Correct Answer:
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$61.37; 6% ÷ 4 = 1.5%; $1,000 ...
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