please pleaase help with this one

Question

A bank features a savings account that has an annual percentage rate of r=4.5r=4.5% with interest compounded semi-annually. Monique deposits $2,000 into the account.

The account balance can be modeled by the exponential formula S(t)=P(1+rn)ntS(t)=P(1+rn)nt, where SS is the future value, PP is the present value, rr is the annual percentage rate, nn is the number of times each year that the interest is compounded, and tt is the time in years.

(A) What values should be used for PP, r, and nn?

P=,  r=,  n=

(B) How much money will Monique have in the account in 9 years?

Answer = $ .

Round answer to the nearest penny.

(C) What is the annual percentage yield (APY) for the savings account? (The APY is the actual or effective annual percentage rate which includes all compounding in the year).

APY= %.

Round answer to 3 decimal places.

Answer 1

A. What values should be used for P, R and n?

P = 2000

r = 0.045 / 2 = 0.0225 (divide by 2 bcz the annual compound interest rate is applied every 6 months)

n = 2 (bcz the annual compound interest rate is applied every 6 months)

B. How much money will Monique have in the account in 9 years?

S(9) = 2000 * (1 + 0.0225)^(2*9) = $2,985.17

C. What is the Annual Percentage Yield (APY) for the account? (The APY is the actual or effective annual percentage rate which includes all compounding in the year).

APY = [(1 + 0.0225)² - 1] * 100% = 4.551%

I hope this helps you,

Gary