You deposit $1,500.00 in an account earning 5% interest compounded quarterly. How much will you have in the account in 14 years?

There will be  in the account in 14 years.


To find out how much will be in the account after 14 years with 5% interest compounded quarterly, we'll use the compound interest formula:

\[
A = P \left(1 + \frac{r}{n}\right)^{nt}
\]

where:

- $ A $ = the amount of money accumulated after n years, including interest.
- $ P $ = the principal amount (initial deposit) = $1,500.
- $ r $ = the annual interest rate (decimal) = 5% or 0.05.
- $ n $ = the number of times interest is compounded per year = 4 (quarterly).
- $ t $ = the time the money is invested for in years = 14.

Plugging in the values:

\[
A = 1500 \left(1 + \frac{0.05}{4}\right)^{4 \times 14}
\]

Now, let's calculate this.After 14 years, the amount in the account will be approximately **$3,007.55**.

Would you like any further details, or do you have any questions?

Here are some related questions you might find helpful:
1. How does changing the compounding frequency affect the final amount?
2. What would the amount be if the interest was compounded monthly instead?
3. How much would you have in the account after 10 years instead of 14?
4. What would be the impact of a higher interest rate, say 6%, on the amount?
5. How does the initial deposit amount affect the future value?

**Tip:** The more frequently interest is compounded, the higher the total amount will grow over time due to the effect of compounding.

You deposit $1,500.00 in an account earning 5% interest compounded quarterly. How much will you have in the account in 14 years?

Find out how to calculate the future value of a $1,500 deposit earning 5% interest compounded quarterly over 14 years. This guide covers the compound interest formula, step-by-step calculations, and the final amount, which will be approximately $3,007.55.

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