162,757 views
26 votes
26 votes
A $1,000 deposit is made at a bank that pays 12% compounded

How much will you have in your account at the end of 10
monthly.
years?

User Klemens Morgenstern
by
3.0k points

1 Answer

15 votes
15 votes

Answer- 3,315.53007332

Explanation:

In this example the compounded is weekly, so the interest rate has to be converted to a weekly interest rate of tex2html_wrap_inline224 .

At the end of the first week, you will have the $1,000 you had at the beginning of the week plus the interest on the $1,000 or tex2html_wrap_inline226 . At the end of the week you will have

displaymath228

User Giuseppe Angora
by
2.4k points