SOLUTION: 9.) Assume an investment of $3000 earns an APR of 6% compounded monthly for 16 months. How much money is in your account after 16 months? (Round your answer to the nearest cent.)

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Question 1003143: 9.) Assume an investment of $3000 earns an APR of 6% compounded monthly for 16 months.
How much money is in your account after 16 months? (Round your answer to the nearest cent.)
$
Answer by mananth(16946) About Me  (Show Source):
You can put this solution on YOUR website!
Principal P = 3000
Amount= A
years=n 1.33
compounded 12 times a year t
Rate = 6.00 0.06
Amount = P*((n+r)/n)^n*t

Amount = = 3000 *( 1 + 0.06 /t)^ 1.33 * 12
Amount = 3000 *( 1 + 0.01 )^ 16
3000 *( 1.01 )^ 16
Amount = 3249.21

Interest = 3249.21 - 3000 = $249.21