Calculate the amount of interest earned in 10 years on $1000 invested at 3% per annum, compounded monthly.

Question

how to solve please show me step by step thank you

Answer 1

I will assume you are familiar with the basic compound interest formulas
i = .03/12 = .0025
n = 10(12) = 120

amount = 1000( 1.0025^120 - 1)/.0025
= ....

Answer 2

oops, I misread the question as investing 1000 every month, so

amount = 1000(1.0025)^120
= $1349.35