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tiny-mole [99]
3 years ago
13

Francisco has a savings account balance of 2,033.88. The interest rate on the account is 2.9% compounded monthly. If he opened t

he account nine years ago what was the value of his initial deposit.
Mathematics
1 answer:
inna [77]3 years ago
4 0
Let P = the value of the initial deposit.

Given:
A = 2,033.88, the current amount
r = 2.9% = 0.029, interest rate
n = 12, compounding interval
t = 9  years

Then
A=P(1+ \frac{r}{n})^{nt}

That is,
P(1 + 0.029/12)¹⁰⁸ = 2203.88
1.2978P = 2203.88
P = $1,698.17

Answer: $1,698.17
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Answer:

Terms:

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Coefficients:

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