Red Company invested $10,000 in a fund that was earning interest at a rate of 2.00% compounded semi-annually. After 3 years and 9 months, the company transferred these funds to another investment that was earning interest at 5.50% compounded monthly.

a. What is the balance in the fund at the end of 3 years and 9 months?

 b. What is the balance in the fund at the end of 6 years (from the initial investment)?

 c. By what amount did the fund grow during the 6 year period? Round to the nearest cent

 

Answer rating: 100% (QA)

a Balance in the fund at the end of 3 years and 9 months First well calculate the balance using the ... View the full answer