Question 106308: How much interest will be earned at the end of three years on a deposit of $12,500 in an account paying 2.25% interest compounded monthly? Answer by stanbon(75887) (Show Source):
You can put this solution on YOUR website! How much interest will be earned at the end of three years on a deposit of $12,500 in an account paying 2.25% interest compounded monthly?
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Formula: A(t) = P(1+(r/n))^nt
A(3) = 12500(1+(0.0225/12))^(12*3)
A(3) = 12500(1.001875)^(36)
A(3) = 12500*1.0697626...
A(3) = $13372.03
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Cheers,
Stan H.
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