Adam put $12,000 in an investment that is compounded monthly at a rate of 1.0%. The investment is over a 12-year period. What is the setup of the formula to find Adam's total investment? Use the formula: A = P(1 + (r/n))^(nt) A = 12,000(1 + (0.01/12))^(12*12)
Added by Frank M.
Step 1
- Principal amount (P) = $12,000 - Annual interest rate (r) = 1.0% = 0.01 - Number of times interest is compounded per year (n) = 12 - Number of years (t) = 12 Show more…
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