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6 January, 12:11

Find the amount that results from each. $50 invested at 6% compounded monthly after a period of 3 years ... ?

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  1. 6 January, 12:25
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    The compound interest formula:

    A = P · (1 + r/n) ^ (n t)

    where: P = $50, r = 0.06, n = 12, n t = 12 · 3 = 36;

    A = 50 · (1 + 0.06/12) ^ (36) =

    = 50 · 1.005^ (36) = 59.834 ≈ $59.83
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