Answer to Question #216738 in Financial Math for Kelly

Question

Tom deposited $5,544 into a savings account paying 8.2% interest compounded monthly. Find the balance after 8 years.

Answer 1

$A=P\times(1+\frac{r}{12})^{n\times12}$

$A=5544(1+\frac{0.082}{12})^{8\times12}$

$A=5544(1.9228)$

$A=10659.86$

balance after 8 years is $10659.86dollars$