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12 votes
you deposit 3000 in an account earning 7% interest compound monthly. how much will you have in the account in 10 years

User Shammara
by
6.5k points

2 Answers

10 votes
The answer is 2 bro trust
User TraneHead
by
6.8k points
3 votes
y = a(1+x)^t/p

This is the compound growth formula.

y is total

a is initial amount

x is percent growth as decimal

t is total time

p is period of frequency

Always make t and p the same unit of time, so in this case we can turn both variables into months. There are 120 months in 10 years.

So,

y = 3000(1.07)^(120/1)

y = 10073365.15 dollars


User Jazzee
by
7.2k points
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