You have 13200 in a savings account that has been paying 63

\"You have $13,200 in a savings account that has been paying 6.3% interest, compounded week . you made one de o t when you o years ago and made no other deposits after that, how much did you initially deposit in the account? Assume 52 weeks per year.\" ene the account exact

Solution

Weekly interest rate = 6.3% / 52 = 0.1212% per week

Number of weeks in 8 years = 8 x 52 = 416

If initial deposit be D, then

D x F/P(0.1212%, 416) = $13,200

D x (1.001212)⁴¹⁶ = $13,200

D x 1.6551 = $13,200

D = $13,200 / 1.6551

D = $7,975.15