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P = $1200.00 r = 3.3% t = 6

F P(1rt)

F = ($1200.00)[1 + (3.3%)(6)]= ($1200.00)(1.198)= $1437.60

Money market account:

P = $1800.00 r = 5.1% t = 6

F P(1rt)

F = ($1800.00)[1+(5.1%)(6)] = ($1800.00)(1.306) = $2350.80

Total amount: $1437.60 + $2350.80 = 3788.40 Hence, Jeff will have $3788.40 after 6 years.

Compound Interest

F P(1r )^nt

n

Compound interest is calculated each period on the