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uranmaximum [27]
4 years ago
13

A bank offers a savings account with an annual interest rate of 0.8%, with interest compounded monthly. If you invest $4,000 in

the account, how much will be in the account after 10 years? g
Business
1 answer:
Mnenie [13.5K]4 years ago
6 0

Answer:

FV= $8,913.91

Explanation:

Giving the following information:

Annual interest rate= 0.8% interest compounded monthly

Initial investment= $4,000

Number of periods= 10*12= 120

<u>First, we need to calculate the monthly interest rate:</u>

<u></u>

i= 0.08/12= 0.0067

<u>Now, using the following formula, we can calculate the future value.</u>

FV= PV*(1+i)^n

FV= 4,000*(1.0067^120)

FV= $8,913.91

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4 years ago
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AURORKA [14]

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4 0
3 years ago
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1. $470

2. $470

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5 0
3 years ago
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iVinArrow [24]

Answer:

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3 years ago
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