Interest Accrued Daily and Compounded Quarterly for 5 years

I feel retarded asking this but maybe you guys can help.

Here is my issue. 40mm(the principal amount) accruing daily and compounding quarterly for a five year span at an interest rate of 10%.

I'm running on zero sleep and for some reason I am drawing a blank.

Thanks guys

Comments (3)

Sep 2, 2009

whats the question?

Sep 2, 2009

You have a principal amount of 40mm. The investors terms are as follows:
10% on an annual basis
The interest accrues daily and then compounds quarterly for the life of the investment. In this case the life of the investment is 5 years.

How do I compute that? What is the total amount of interest earned?

Sorry, should have been a little more clear

Sep 2, 2009