Colin opened a savings account and deposited 600.00 as principal. The account earns 8% interest, compounded quarterly. How much interest will he earn after 4 years?

Solution

Solution

Interest : 223.67

Solution steps

Translate the problem into an equation:

823.67142 \dots = 600 + I

Solve for

I, 823.67142 \dots = 600 + I : I = 223.67

Interest : 223.67

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