Question

Find the savings plan balance after 2 years with an APR of 3​% and monthly payments of ​$300.

The balance is ​$
​(Do not round until the final answer. Then round to the nearest cent as​ needed.)

Answer 1

Explanation:

The balance of the savings plan after 2 years will be=$7,410.85 at 3% compounded monthly.

The balance of the savings plan after 2 years will be=$7,407.95 at 3% compounded annually.

The formula you use to calculate this is:FV=P{[1 + R]^N - 1/ R}=FV OF $1 PER PERIOD, Where R=Interest rate per period, N=number of periods, P=periodic payment, FV=Future value.