A = Po(1+r)^n.
Po = $14,000.
r = 0.052/12 = 0.0043/mo.
n = 12comp./yr. * t yrs. = 12t compounding periods.
Suppose that $14,000 is invested in a savings account paying 5.2% interest per year.
(a) Write the formula for the amount A in the account after t years if interest is compounded monthly.
1 answer
2 answers