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
The total amount of the investment at the end of the second month is $___
The amount of the investment at the end of the first month is $70.
For the second month, the interest is compounded on the initial amount ($70) plus the interest from the first month.
The interest for the first month is:
$70 * 0.12/12 = $0.70
So, the amount at the start of the second month is:
$70 + $0.70 = $70.70
In the second month, $70 is added to the amount at the start of the second month.
Therefore, the total amount of the investment at the end of the second month is:
$70.70 + $70 = $140.70