Noah invested Php181,370 at 7% interest compounded quarterly for 10 years. How much is the compound interest at the end of the investment period?

To solve this problem, we will use the formula for compound interest which is:

A = P (1 + r/n)^(nt)

where: A = the amount of money accumulated after n years, including interest. P = the principal amount (the initial amount of money) r = annual interest rate (in decimal) n = number of times that interest is compounded per year t = the time the money is invested for in years

Given: P = Php181,370 r = 7% or 0.07 n = 4 (since the interest is compounded quarterly) t = 10 years

Step 1: Convert the annual interest rate from a percentage to a decimal. r = 7/100 = 0.07

Step 2: Substitute the values into the formula.

A = Php181,370 * (1 + 0.07/4)^(4*10)

Step 3: Calculate the amount after 10 years.

A = Php181,370 * (1 + 0.0175)^(40) A = Php181,370 * (1.0175)^40 A = Php181,370 * 2.0096 A = Php364,619.42

Step 4: To find the compound interest, subtract the principal from the total amount.

Compound Interest = A - P Compound Interest = Php364,619.42 - Php181,370 Compound Interest = Php183,249.42

So, the compound interest at the end of the investment period is Php183,249.42.