https://www.coursehero.com/tutors-problems/Calculus/25538123-need-help-with-financial-literacy-thanks/

Answer & Explanation Solved by verified expert The solution is done below The future value's formula is used $A=P(1+r/n{)}^{r\ast n}$ Step-by-step explanation Solution:- investment (P)=$ 4,000 time (t)= 8yr let r be rate of interest compounded let n be the annual yield of interest The future value is calculated $A=4,000(1+\frac{r}{n}{)}^{8\ast n}$ --------------------(1) As per his calculation , the calculation is given by $A=4,000(1.0235{)}^{32}$ $A=4,000(1+0.235{)}^{32}$ --------------------(2) compare (1) & (2), we get $8\ast n=32$ $n=32/8$ $n=4$ Now $\frac{r}{n}=0.0235$ $r=0.0235\ast n$ $r=0.0235\ast 4=0.094$ $r=9.40$ % option b) Seconds part as per the calculation , n=4, quarterly would yield the most interest hence the rate is compounded quarterly option B) Hi there! thanks for the help but the second question is completely on its own not a part of the first question Expert Tutor Is this answer helpful? 谢谢亲的回惠顾，期待您的下次光临！ 添加客服微信:bbwxnly，购买沟通交流so easy Coursehero｜Scribd｜Studymode｜Oneclass｜Chegg｜Studyblue｜Termpaperwarehouse｜SolutionInn｜Bartleby 谢谢亲的支持，祝您学习愉快:)