Question 762867: What is the annual percentage yield of a $10,000 investment for 1 year at 12% interest compounded monthly? (Round APY to the nearest hundredth.)
Answer by stanbon(75887)   (Show Source):
You can put this solution on YOUR website! What is the annual percentage yield of a $10,000 investment for 1 year at 12% interest compounded monthly? (Round APY to the nearest hundredth.)
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A(t) = P(1+(r/n))^(nt)
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A(1) = 10,000(1+(0.12/12))^(12*1)
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A(1) = 10,000(1.1)^12 = $31,384.00
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Cheers,
Stan H.
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