Suppose you deposited $27,000 in a bank account that pays 5.25% with daily compounding based on a 360-day year. How much would be in the account after 8 months, assuming each month has 30 days

FV = $27,962.78

Explanation:

Giving the following information:

Suppose you deposited $27,000 in a bank account that pays 5.25% with daily compounding based on a 360-day year.

First, we need to calculate the daily interest:

Interest rate = 0.0525/360 = 0.000146

Now, using the following formula, we can determine the final value:

FV = PV * (1+i) ^n

FV = 27,000 * (1.000146^240)

FV = $27,962.78