SOLUTION: You deposit $2000 in an account earning 3% interest compounded monthly. a. How much will you have in the account in 20 years?
b. How much interest will you earn?
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b. How much interest will you earn?
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Question 980220: You deposit $2000 in an account earning 3% interest compounded monthly. a. How much will you have in the account in 20 years?
b. How much interest will you earn? Answer by Alan3354(69443) (Show Source):
You can put this solution on YOUR website! You deposit $2000 in an account earning 3% interest compounded monthly. a. How much will you have in the account in 20 years?
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20 yrs = 240 months
3%/yr = 0.25%/month
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FV = 2000*(1 + 0.0025)^240
= 3641.51
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b. How much interest will you earn?
FV - 2000
