Answer:
Step-by-step explanation:
40,000= x (1+ .04)^12
the future value of the account =40,000
the amount invested at the end of each period =x because we do not know
the interest rate per period = 0.04 because 8% compounded semiannually is 4% per 6 months or written as decimals 0.04
(1+.04) because you gain interest so you add to the 100% of your money 4%
the number of periods = 12 because in 6 years we have twelve 6 months periods
[tex]x= \frac{40,000}{1.04^{12} }[/tex]
x= $24,983.88
