Find the accumulated amount A, if the principal P is invested at an interest rate of r per year for t years.
P = $24,000, r = 7%, t = 6, compounded monthly
$ ?
A = 24000(1+.07/12)^(12*6) = 36482.53
To find the accumulated amount A, we can use the formula for compound interest:
A = P * (1 + r/n)^(nt)
Where:
A is the accumulated amount
P is the principal
r is the interest rate per year (expressed as a decimal)
t is the number of years
n is the number of times the interest is compounded per year.
In this case, P = $24,000, r = 7% (or 0.07 as a decimal), t = 6, and the interest is compounded monthly, so n = 12 (since there are 12 months in a year).
Plugging these values into the formula, we get:
A = $24,000 * (1 + 0.07/12)^(12*6)
Now we can calculate the value of A.