V = Vo(1+r)^n
r = 5%/365/100% = 0.00013699 = Daily %
rate expressed as a decimal.
n = 365Comp./yr * 11Yrs = 4015 Compounding periods.
V = 10,000(1.00013699)^4015 = $17,332.13
Calculate, to the nearest cent, the future value FV of an investment of $10,000 at the stated interest rate after the stated amount of time. HINT [See Example 1.]
5% per year, compounded daily (assume 365 days/year), after 11 years
work:10,000(1+0.05/365)^(365)(11)=17331.87
this is the answer i got but i keep getting it wrong
1 answer
1 answer