Question
1500 dollars into a 6 month CD compounding daily with a 4% APR. How much do u have at the end of your six months?
Answers
Henry
Pt=Po*(r+1)^n. Compounded daily.
Pt=principal at maturity.
Po=Initial principal or deposit.
r=DPR=Daily percentage rate.
n=The number of compounding periods.
t=6mo=0.5yr.=time for maturity.
Po=1500.
APR=4.0
r=4/365/100=0.000109589
n=0.5*365=182.5 days.
Pt=1500*(0.000109589+1)^182.5=1530.30
Pt=principal at maturity.
Po=Initial principal or deposit.
r=DPR=Daily percentage rate.
n=The number of compounding periods.
t=6mo=0.5yr.=time for maturity.
Po=1500.
APR=4.0
r=4/365/100=0.000109589
n=0.5*365=182.5 days.
Pt=1500*(0.000109589+1)^182.5=1530.30