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g You decide to deposit $ 2 comma 000 at a local bank for three years at a 8​% rate of interest compounded quarterly. The future value of your investment is approximately equal to​ ________. (Use the formula method and round to the nearest dollar.

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Answer:

Using the formula for the compound interest as shown below...

A= P[1+r/n]^nt

A= the new compounded balance

P=the principal amount invested.

t=the time,

r=the rate (in decimal form)

n=the number of times it is compounded.

Thus for the question above,  

p= $2000.

t=3 years

r=8% or 0/08 in decimal form

n=4(quarter)

A= 2000(1+0.08/4)^(4)(3)

 =2000(1.02)^12

 =2000X 1.268241794

 =2536.48358913

To round it off to the nearest dollar then the answer is...

=$3,000

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