Daniel has 120 dollars in the bank. He is earning 3.5% compound interest each month. How much money will he have in the bank in one year?

Question

asked Aug 20, 2022 1.4k views

2 Answers

Mehrdad Khosravi · Answer 1 · 2022-08-21T22:29:25+0000

Answer:

$124.27

Explanation:

A = Principal(1 + r/n)^nt

r = interest rate

n = # times compounded

t = # years

A = 120 (1 + .035/12)^12(1)

A = 120(1 + .0029)^12

A = 120(1.0029)^12

A = 120 x 1.0353

A = 124.27