Answer:
$13,724
Step-by-step explanation:
From the above question, we are given the following values:
Principal = P = $12,000
Interest = r = 2.25% = 0.0225
Compounded semi annually = n = 2
Time (t) = 6 years
From the question, we understand that we are to find the total (full) Amount Karen withdrew.
The formula to use to calculate the Total Amount of money given that this is a compound interest question is:
Total(full) Amount = P( 1 + r/n) ^n/t
= $12,000( 1 + 0.0225/2) ^2×6
= $12,000(1.01125)^12
= $13724.093289
Approximately to the nearest cent
≈ $13,724
Therefore, Karen withdrew $13,724 from the account.
I did not solve this question, I saw another answer and decided to share it.
