Question

In: Statistics and Probability

What is the future value of a 5 year investment of $3000 at an APR of...

What is the future value of a 5 year investment of $3000 at an APR of 7% compounded monthly?

Expert Solution

We use the formula

r = rate of interest in decimal = 0.07

n = number of times we calculate the interest = 12 ( 1 year has 12 month in it )

P = principal amount = 3000

t = time = 5 years

Final answe :-

Future value = $4252.875779

(Note :- Round answer according to the instruction )

I hope this will help you :)

orchestra answered 2 years ago

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