Question

Mina invest her savings of R24 000 in an account that pays 7.5% interest per year, compounded monthly. The amount that she will have in her account after three years is

Answer 1

$P_{N}= P_{0}(1+\frac{r}{k})^{kN}$

$A_{3}= 24000(1+\frac{0.075}{12})^{3\times 12}$

$=24000(1.00625)^{36} = R 30034.71$