Find the amount of money in an account after 3 years if $\$ 2900$ is deposited at $6 \%$ annual interest compounded monthly.
A) $\$ 3470.37$
B) $\$ 3462.75$
C) $\$ 3453.95$
D) $\$ 3467.29$

Question

Quizplus · Accepted Answer

The formula for compound interest is $ A = P \left(1 + \frac{r}{n}\right)^{nt} $. Here, $ P = 2900 $, $ r = 0.06 $, $ n = 12 $, and $ t = 3 $. Plugging in these values gives $ A = 2900 \left(1 + \frac{0.06}{12}\right)^{12 \times 3} \approx 3470.37 $.

Find the Amount of Money in an Account After 3 $2900\$ 2900$2900

Find the Amount of Money in an Account After 3 $\$ 2900$