Lux Investing
If you invest $2000 at 6.8% annual interest, compounded month;y , how much money will you invest in 6 years?
my math problem i need help
Public Comments
- $44966.15
- The future value of $2,000 @6.8% for 6 years is: P*(1+i)^n Where P = present value i = interest rate (for the period) n = number of periods 2000*(1+.068/12)^(6*12)
- P=A(1+.068/12)^6*12 A=2000 You have to divide the inside of the parentheses by 12 because it is compounded twelve times a year, then multiply the exponent by 12 because it is compounded twelve times a year. When worked out, the answer is $3004.15.
