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Stella has $3000 in her savings account today earning interest at 3% p.a. compounded monthly. She plans to make another deposit of $4000 in 3
Stella has $3000 in her savings account today earning interest at 3% p.a. compounded monthly. She plans to make another deposit of $4000 in 3 months. The bank declares that the interest rate will be changed to 2.8% p.a. compounded quarterly in 6 months' time. Stella wants to use the following equation to find the balance of her bank account ($X) in one year's time. 11 is the original interest rate per month and iz is the new interest rate per quarter. X = 3000(1 + i)N1(1 + iz)^2 + 4000(1+ Calculate the following variables in the equation above. The variables may or may not be of the same value. For percentages, round your answer to the nearest 0.01% (2dp). Do not include the % symbol. Do not use comma separators. For example, if your answer in decimal is 0.123456, 12.35 would be the correct format. For n, show your answer as an integer (positive or negative). Do not include units like "years or months (number only). Do not use comma separators. For example, 123456 would be the correct format. 11= % (0.5 mark) 12= 11 = = % (0.5 mark) 12= % (0.5 mark) n1= (0.5 mark) n2= (0.5 mark) n3= (0.5 mark) n4= (0.5 mark)
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