Question

Downtown Bank is offering 3.6 percent compounded monthly on its savings accounts. You deposit $1,000 today....

Downtown Bank is offering 3.6 percent compounded monthly on its savings accounts. You deposit $1,000 today. How much will you have in your account 10 years from now?

Group of answer choices

$1324.29

$1424.29

$1400

$1432.56

$1360

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Homework Answers

Answer #1

We know the compound interest formula:

Where,
A = Amount in future
P = Principal invested today
i = rate of interest
n = number of years

Substituting the values, we get:

Therefore, your account will have $1,432.56 in 10 years from now.

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