Math

suppose that $5000 is invested in an account with APR of 12% compounded monthly. find the future value of the account in 5 years.

asked by Abb
  1. New Value of account= $5000*(1+12/100)^5
    = $8811.7

    posted by Gaurav
  2. That is the amount compounded annually.
    Compounded monthly you get

    5000(1+.12/12)^(12*5) = 9083.43

    posted by Steve

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