162k views
5 votes
how much would $300 invested at 4% interest compounded monthly be worth after 8 years? round your answer to the nearest cent

1 Answer

4 votes

Answer:

412.92

Explanation:


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

A: Amount, P: Principal, r: interest, n: no.of times compounded yearly and t: time in years

We have P = 300

r = 4% = 0.04

n = 12 (compounded monthly)

t = 8


A = 300(1+(0.04)/(12) )^(12*8)\\\\300((12.04)/(12) )^(96)\\\\= 412.92

User Yibo Long
by
8.9k points

No related questions found