Assume that $100 is deposited at the end of each period in an account in which interest is compounded at the frequency k = 12, at an annual rate of 11%.Find the accumulated amount after 9 years.Round to
The nearest cent.
A)$18,317.72
B)$18,331.92
C)$18,296.20
D)$18,274.67
E)$18,285.12

Question

Quizplus · Accepted Answer

The correct answer is A because the accumulated amount after 9 years is $18,317.72. This can be calculated using the formula A = P(1 + r/k)^(k*n), where P is the principal (the amount deposited each period), r is the annual interest rate, k is the number of compounding periods per year, and n is the number of years. In this case, P = $100, r = 11%, k = 12, and n = 9, so A = $100(1 + 0.11/12)^(12*9) = $18,317.72.

Assume That $100 Is Deposited at the End of Each