SOLUTION: Rebecca put $39,000 in an education account on the day her daughter was born. If the account earned 6.65% interest compounded monthly, what was the total in the account when her d

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Question 1009715: Rebecca put $39,000 in an education account on the day her daughter was born.
If the account earned 6.65% interest compounded monthly, what was the total in the account when her daughter turned 18? Round the final answer to the nearest cent.
Answer by fractalier(6550) About Me  (Show Source):
You can put this solution on YOUR website!
For interest compounded n times a year, we have
A(t) = Ao*(1 + r/n)^(nt)
so that
A(18) = 39000(1 + .0665/12)^(12*18) = $128670.79
Too bad no one pays that kind of interest any more...