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natulia [17]
3 years ago
10

on june 1 Mary Barkley deposited 1000 in a savings account that pays 5.5 percent interest compounded daily. on june 26th, how mu

ch interest had been earned on the principal in her account?
Mathematics
1 answer:
Zielflug [23.3K]3 years ago
4 0

9514 1404 393

Answer:

  3.77

Step-by-step explanation:

For daily compounding, the balance is ...

  A = P(1 +r/365)^n . . . . principal P invested at annual rate r for n days

  A = 1000(1 +0.055/365)^25 ≈ 1003.77

Of this amount, 1000 is the original principal. The difference is the interest.

The interest earned is 3.77.

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