Question

Which of the following is the balance for a single $2.520 deposit in an account with an APR of 1.16% that compounds interest monthly and is invested for 37 years? Which of the following is the balance for a single $ 2.520 deposit in an account with an APR of 1.16 % that compounds interest monthly and is invested for 37 years ?​

Answer 1

Answer:

The balance after 37 years is $3869.99

Step-by-step explanation:

Given:

• Principal (P) =  $2,520
• Rate of Interest (R) = 1.16%
• Time (t) = 37 years
• Compounds Interest Monthly (n) = 12

The Amount (A),

A = P (1 + $\frac{R}{100n}$$)^{nt}$        if compound n times per year

Amount (A) at 37 years,

A = ($2,520) (1 + $\frac{1.16}{100(12)}$$)^{12 x 37}$

A = ($2,520) (1 + $\frac{1.16}{1,200}$$)^{444}$

A = ($2,520) (1.00096667 $)^{444}$

A = ($2,520) (1.5357)

A = $3869.9944

Learn more about Compounds Interest here: brainly.com/question/12325365