A person invests $500 in an account that earns a nominal yearly rate of 4%. How much will this investment be worth in 10 years? If the interest was applied four times per year (known as quarterly compounding), calculate how much the investment would be worth after 10 years.
Using our compound interest calculator, $500 @ 4% for 10 years is:
$740.12
Using quarterly compounding in our compound interest calculator, we have 10 years * 4 quarters per year = 40 periods, so we have:
$744.43
Using our compound interest calculator, $500 @ 4% for 10 years is:
$740.12
Using quarterly compounding in our compound interest calculator, we have 10 years * 4 quarters per year = 40 periods, so we have:
$744.43