Answer:
Step-by-step explanation:
- Deposit amount P = $4200
- Interest rate r = 3 1/2% = 3.5% = 0.035 PA compounded semiannually
- Compound n = 2 per year
Calculations as per following questions
- a. I = $4200*(0.035/2) = $73.5
- b. A = $4200 + $73.5 = $4273.5
- c. I = $4273.5*(0.035/2) = $74.79
- d. A = $4273.5 + $74.79 = $4348.29
- e. I = $4348.29 - $4200 = $148.29
- f. I = $4200*0.035 = $147
