en

English

Español

Português

Français

Deutsch

Italiano

Русский

中文(简体)

한국어

日本語

Tiếng Việt

עברית

العربية

Popular Word Problems >

Meg invested 16,000 in a savings account. If the interest rate is 6% per year, how much will be in the account in 5 years with monthly compounding?

Solution

M e g in v es t e d 16, 000 in a s a v in g s a cco u n t . I f t h e in t eres t r a t e i s 6% p er ye a r, h o w m u c h w i ll b e in t h e a cco u n t in 5 ye a rs w i t h m o n t h l y co m p o u n d in g ?

Solution

Amount : 21581.6

Solution steps

Translate the problem into an equation:

A = 16000 (1 + \frac{0.06}{12})^{12 \cdot 5}

16000 (1 + \frac{0.06}{12})^{12 \cdot 5} = 21581.60244 \dots

Round to the nearest hundredth:

21581.6

Amount : 21581.6

Popular Examples

The sum of three consecutive numbers is 42. Find the numbers.you take out a loan of 14000 dollars and intend to have it paid off in five years and the interest rate is 12.3 PERCENT per year compounding monthly so find how much money is paid each month The product of 7 and a number You deposit 120 in an investment account that earns 6.4% annual interest compounded quarterly.What is the balance of the account after 6 years?Beverly drove from Atlantic City to Newark. She drove for 284 miles at a constant speed of 58 mph How long did it take Beverly to complete the trip?