Question

PLEASE HELP!

Siobhan deposits $1200 into a savings account that pays 5. 2% annual interest compounded monthly. What will be the balance after 4 years? Round to the nearest cent.



$_________

Answer 1

`~~~~~~ \textit{Compound Interest Earned Amount} \\\\ A=P\left(1+(r)/(n)\right)^(nt) \quad \begin{cases} A=\textit{accumulated amount}\\ P=\textit{original amount deposited}\dotfill &\$1200\\ r=rate\to 5.2\%\to (5.2)/(100)\dotfill &0.052\\ n= \begin{array}{llll} \textit{times it compounds per year}\\ \textit{monthly, thus twelve} \end{array}\dotfill &12\\ t=years\dotfill &4 \end{cases}`

`A = 1200\left(1+(0.052)/(12)\right)^(12\cdot 4) \implies A = 1200( 1.004\overline{33})^(48)\implies A \approx 1476.79`