Answer:
Maureen earned $123.19 doing odd jobs
Step-by-step explanation:
The compound interest formula is given by:
[tex]A(t) = P(1 + \frac{r}{n})^{nt}[/tex]
Where A(t) is the amount of money after t years, P is the principal(the initial sum of money), r is the interest rate(as a decimal value), n is the number of times that interest is compounded per unit year and t is the time in years for which the money is invested or borrowed.
In this question:
Compounded quarterly means that [tex]n = 4[/tex]
10 years, so [tex]t = 10[/tex]
9% interest, so [tex]r = 0.09[/tex]
There is $300.00 in the account, which means that [tex]A = 300[/tex]
How much did Maureen earn doing odd jobs?
This is P.
[tex]A(t) = P(1 + \frac{r}{n})^{nt}[/tex]
[tex]300 = P(1 + \frac{0.09}{4})^{4*10}[/tex]
[tex](1.0225)^{40}P = 300[/tex]
[tex]P = \frac{300}{(1.0225)^{40}}[/tex]
[tex]P = 123.19[/tex]
Maureen earned $123.19 doing odd jobs
