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Andrew [12]
3 years ago
15

Explain why the amount of money in the account at the end of t years is given by the formula: P=P0(1+r/n)^nt

Mathematics
1 answer:
miskamm [114]3 years ago
6 0
This is the formula you use for someone investing in money. The formula is actually supposed to be: <em>A</em>=P(1+\frac{r}{n})^{n(t)}.
A is the total amount, P is the principal amount (the initial; original), r is percent (%) rate in decimal form, n is frequency, and t is the amount of years.
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