SOLUTION: Use the compound interest formulas A = P(1 + r/n)^nt and A = Pe^rt to solve. Find the accumulated value of an investment of $5000 at 5% compounded monthly for 8 years.

Algebra ->  Functions -> SOLUTION: Use the compound interest formulas A = P(1 + r/n)^nt and A = Pe^rt to solve. Find the accumulated value of an investment of $5000 at 5% compounded monthly for 8 years.      Log On


   

Question 1180113: Use the compound interest formulas A = P(1 + r/n)^nt and A = Pe^rt to solve.
Find the accumulated value of an investment of $5000 at 5% compounded monthly for 8 years.
Answer by ikleyn(52794) About Me  (Show Source):
You can put this solution on YOUR website!
.

Use the formula   A = 5000%2A%281%2B+0.05%2F12%29%5E%288%2A12%29    and compute the answer.


The second formula is irrelevant in this problem.


-------------

For all details and explanations,  look into these two lessons
    - Compounded interest percentage problems
    - Problems on discretely compound accounts
in this site,  and learn the subject from there.


After reading these lessons,  you will tackle such problems on your own without asking for help from outside.

Also,  you have this free of charge online textbook in ALGEBRA-I in this site
    - ALGEBRA-I - YOUR ONLINE TEXTBOOK.

The referred lessons are the part of this online textbook under the topic "Logarithms".


Save the link to this online textbook together with its description

Free of charge online textbook in ALGEBRA-I
https://www.algebra.com/algebra/homework/quadratic/lessons/ALGEBRA-I-YOUR-ONLINE-TEXTBOOK.lesson

to your archive and use it when it is needed.


Happy learning (!)