Answer:
$4,880.80
Step-by-step explanation:
A = P(1 + r/n)^nt
Where,
A = future value
P = principal = $4,000
r = interest rate = 2% = 0.02
n = number of periods = 2
t = time = 10
A = P(1 + r/n)^nt
= 4000( 1 + 0.02/2)^2*10
= 4000(1 + 0.01)^20
= 4000( 1.01 )^20
= 4000(1.2202)
= 4,880.8
A = $4,880.80 to the nearest cents
Jimmy's balance after 10 years will be $ 4880.8
Jimmy invests $4,000 in an account compounded semi annually according to the given conditions
Given
Principal = $4000
Annual Internet Rate = 2% =0.02
Let the amount be Amount = A
Compounding frequency = 2
Time = 10 years
Equation for amount of compound interest is given by the equation (1)
[tex]A = P\times (1 + \dfrac{r}{n} ) ^{nt}.....(1) \\A = 4000 ( 1 + \dfrac{0.02}{2} )^{ 2\times10}\\A = 4000 (1+ 0.01 )^{20} \\A = 4880.8[/tex]
So his balance after 10 years will be $ 4880.8
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https://brainly.com/question/24802506
