<PRE><B>Question 1195157</B>
{{{N*(1.03)^5=6000}}}-----if for annually



MONTHLY,
{{{12*5=60}}} months
and monthly rate would be {{{3/12=0.25}}}


{{{N*(1.0025)^60=6000}}}
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N, amount to invest now today
0.03, yearly interest rate
{{{1*year=12*months}}}
5, how many years the N amount will be invested


The number of monthly compounding periods is {{{5years*12(months/year)=60*months}}}.


What is monthly interest rate?  {{{0.03/12=0.0025}}}.


If N were invested for just one year, then BALANCE would be  {{{N*1.0025^12}}}; but your example is for 60 months or nearly enough to 60 compounding periods.</PRE>