An investment of $2,000 is earning interest at the rate of 6.2% compounded quarterly over 5 years. approximately how much interest is earned on the investment?
a.
$724.67
b.
$2127.72
c.
$720.37
d.
$2720.37

the answer is 200

step-by-step explanation:

the way the question is worded, it seems to imply the $264 interest is simple interest, not compound interest.

the simple interest for 2 years is $264; the simple interest for 1 year is $132.

$132 interest on a $600 investment means an interest rate of (132/600)*100 = 22%.

the value of $200 at 22% interest compounded annually for three years is

200%281.22%29%5e3

the amount of interest is that value, minus the original $200.

-4

step-by-step explanation:

do 6-10=

if u need it to be negative.