Ted deposited $1750 in an RRSP on March 1, 2014, at 3% compounded quarterly. Subsequently the interest rate was changed to 4% compounded monthly on September 1, 2016, and to 4.5% compounded semi-annually on June 1, 2018. What was the value of the RRSP deposit on December 1, 2020, if no further changes in interest were made? The value of the RRSP deposit is $. (Round the final answer to the nearest cent as needed. Round all intermediate values to six decimal places as needed.)

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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**Problem Statement:**

Ted deposited $1750 in an RRSP on March 1, 2014, at 3% compounded quarterly. Subsequently, the interest rate was changed to 4% compounded monthly on September 1, 2016, and to 4.5% compounded semi-annually on June 1, 2018. What was the value of the RRSP deposit on December 1, 2020, if no further changes in interest were made?

**Solution:**

The value of the RRSP deposit is $\_\_\_$.

*(Round the final answer to the nearest cent as needed. Round all intermediate values to six decimal places as needed.)*
Transcribed Image Text:**Problem Statement:** Ted deposited $1750 in an RRSP on March 1, 2014, at 3% compounded quarterly. Subsequently, the interest rate was changed to 4% compounded monthly on September 1, 2016, and to 4.5% compounded semi-annually on June 1, 2018. What was the value of the RRSP deposit on December 1, 2020, if no further changes in interest were made? **Solution:** The value of the RRSP deposit is $\_\_\_$. *(Round the final answer to the nearest cent as needed. Round all intermediate values to six decimal places as needed.)*
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