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A principal of $1,000 is invested in an account paying an annual interest rate of 6%.

User Monojohnny
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2 Answers

5 votes

1000 x 6%= 1000 x .06

1000 x .06 = 60

The principal is getting $60 every year for their annual interest rate.

Hope I helped!

Good Luck!


User Tedil
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4 votes

A(t) = P(1+(r/n))^(nt)

A(5) = 1000(1+0.12/2)^(2*5)

A(5) = 1000(1.06)^(10)

A(5) = $1790.85

User Robert Bender
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8.2k points