Question 1035114: If $400 is invested at 3% compounded monthly, what is the
interest earned after:
4 years interest earned=
5 years interest earned= Found 3 solutions by addingup, Edwin McCravy, MathTherapy:Answer by addingup(3677) (Show Source):
You can put this solution on YOUR website! 400(1+0.03/12)^12*4 = interest amount in 4 years. Subtract initial amount (400) and you have interest earned.
You can put this solution on YOUR website! If $400 is invested at 3% compounded monthly, what is the
interest earned after:
4 years interest earned=
5 years interest earned=
First we find what $400 will have grown to by using the
formula
where
P = the beginning amount = 400
r = the percentage interest expressed as a decimal = 0.03
n = the number of times per year interest is accumulated = 12
t = the number of years that have passed since the money was invested = 4
in the first part of the problem and 5 in the second.
A = the amount the $P will have grown to after n years.
So substitute those in the formula and calculate A.
Then subtract P from A to find out how must interest
was added over those 4 or 5 years.
Edwin
You can put this solution on YOUR website!
If $400 is invested at 3% compounded monthly, what is the
interest earned after:
4 years interest earned=
5 years interest earned=
