Question

Chris deposited $3000 in a savings

account which pays 2.4% interest
compounded monthly. How much
money will Chris have at the end of 5
years?

Answer 1

$12, 448.55

Explanation:

there are 12 X 5 months in 5 years = 60 months.

an example of the compound interest formula in the context of this question is 3000 (1 + 0.024)^60

= 3000 (1.024)^60

= 12, 448.55 ($)