If $10,000 is invested at 16% compounded quarterly,then the compound amount at the end of six years is
A) $21,173.75.
B) $24,278.09.
C) $25,633.04.
D) $26,678.42.
E) $26,987.33.

Question

Quizplus · Accepted Answer

To find the compound amount at the end of six years for an investment of $10,000 at 16% interest compounded quarterly, we use the formula for compound interest: $A = P(1 + \frac{r}{n})^{nt}$, where $A$ is the amount of money accumulated after n years, including interest, $P$ is the principal amount (the initial amount of money), $r$ is the annual interest rate (decimal), $n$ is the number of times that interest is compounded per year, and $t$ is the time the money is invested for in years.Given:- $P = $10,000$- $r = 16\% = 0.16$- $n = 4$ (since the interest is compounded quarterly)- $t = 6$ yearsPlugging these values into the formula gives us:$$A = 10000(1 + \frac{0.16}{4})^{4*6}$$$$A = 10000(1 + 0.04)^{24}$$$$A = 10000(1.04)^{24}$$$$A = 10000(2.563304)$$$$A = $25,633.04$$Therefore, the correct answer is $25,633.04.

If $10,000 Is Invested at 16% Compounded Quarterly,then the Compound