Question

Isabell decided to put $245 in her savings account at the end of every month, Find the amount she has at the end of 10years, if the account has and ARP of 6.4% compounded monthly. Answer rounded to the nearest cent.

Answer 1

$2606.80

Explanation:

$21.72 first month = S(t) 245 x 1.064^1/12 months if compounded monthly

S(t) 245 x 1.064^1/12 x 12 x 10 = $2606.80

S(t) 245 x 1.064^10 = 455.598582251

Rounded to nearest cent = $455.60

$455.60 after 10 years. if compounded yearly