Joe and Beth deposit 4,187.00 into a savings account which earns 12.89% interest compounded monthly. They want to use the money in the account to go on a trip in 3 years. How much will they be able to spend?

Solução

Joe and Beth deposit 4, 187.00 into a savings account which earns 12.89% interest compounded monthly. They want to use the money in the account to go on a trip in 3 years. How much will they be able to spend?

Solução

Amount : 6151.05

Passos da solução

Translate the problem into an equation:

A = 4187 (1 + \frac{0.1289}{12})^{12 \cdot 3}

4187 (1 + \frac{0.1289}{12})^{12 \cdot 3} = 6151.04717 \dots

Round to the nearest hundredth:

6151.05

Amount : 6151.05

Exemplos populares

Shawn opened a savings account 1 year ago. The account earns 4% interest, compounded continuously. If the current balance is 100.00, how much did he deposit initially?Find the amount in the account for the given principal, interest rate, time, and compounding period.Pequals1,000, requals2.3%, tequals4 years; compounded continuously Porter and Sadie deposited 6,000.00 into a savings account which earns interest compounded monthly. After 2 years, they had 6,803.00 in the account which they used to go on a trip. What was the interest rate on the account?Round your answer to the nearest tenth of a percent.a 10 min call decrease by 20%. the cost before decrease was \text{3.40. what was the cost of the decrease?:}the sum of three consecutive even integers is-120