<-- Start Balance
<-- # of periods
<-- Interest rate
              

How much is 15000 worth after
100 quarters
using an annual interest rate of 4.5%
compounded quarterly?

Calculate effective interest rate

There are 4 quarters in a year
Convert interest rate to quarterly
Quarterly Interest  =  Annual Interest Rate
  Compounding Periods

Quarterly Interest  =  0.045
  4

Quarterly Interest = 0.01125

Calculate Accumulated Balance

A = B(1 + i)n
where A = accumulated balance
B = opening balance
i = Quarterly interest rate
and n = number of periods

Plugging in our values

A = 15000(1 + 0.01125)100
A = 15000(1.01125)100
A = 15000(3.0609304520943)
A = 45,913.96

How much interest was earned?

Interest Earned = Accum. Value - Start Balance

Plug in our values

Interest Earned = 45,913.96 - 15,000.00
Interest Earned = 30,913.96

A = 45,913.96
Interest Earned = 30,913.96





What is the Answer?
A = 45,913.96
Interest Earned = 30,913.96
How does the Compound Interest Accumulated Balance Calculator work?
Free Compound Interest Accumulated Balance Calculator - Given an interest rate per annum compounded annually (i), semi-annually, quarterly, monthly, semi-monthly, weekly, and daily, this calculates the accumulated balance after (n) periods
This calculator has 3 inputs.

What 1 formula is used for the Compound Interest Accumulated Balance Calculator?

Bn = Bn - 1(1 + i)

For more math formulas, check out our Formula Dossier

What 5 concepts are covered in the Compound Interest Accumulated Balance Calculator?

compound interest
the interest you earn on principal and interest
A = (1 + r/n)nt
compound interest accumulated balance
interest rate
the proportion of a loan that is charged as interest to the borrower or proportion of principal credit given to a depositor
principal
The amount borrowed on a loan, before interest is charged
yield
How much an investment returns in terms of interest rate
Example calculations for the Compound Interest Accumulated Balance Calculator
Compound Interest Accumulated Balance Calculator Video

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