When $70 is invested monthly with an annual compound interest rate of 12% interest, compounded monthly, what is the total amount of the investment at the end of the second month? Round the answer to two decimal places as needed.(1 point)
We can use the formula $A = P(1 + r/n)^{nt}$ to find the total amount of the investment at the end of the second month, where:
$A$ is the total amount of the investment,
$P$ is the monthly investment amount,
$r$ is the annual interest rate,
$n$ is the number of times interest is compounded in a year, and
$t$ is the number of years.
In this case, $P = 70$, $r = 0.12$, $n = 12$ (since the interest is compounded monthly), and $t = \frac{2}{12}$ (since the investment is for 2 months).
Plugging in these values, we get:
$A = 70(1 + \frac{0.12}{12})^{12 \cdot \frac{2}{12}}$
Simplifying further, we have:
$A = 70(1 + 0.01)^{2}$
$A = 70(1.01)^{2}$
Using a calculator, we find:
$A \approx \boxed{70.49}$