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Q: What is the annual compound interest rate for an investment account modeled by the function y 12 1.18t?

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18.90 as an interest. and principle wil remain same.

12.76

At the end of the first year, the balance in the account is: 5000(1+.0638). At the end of the second year, the balance in the account is: 5000(1+.0638)(1+.0638). At the end of the third year, the balance in the account is: 5000(1+.0638)(1+.0638)(1+.0638). At the end of the t year, the balance in the account is: 5000(1+.0638)^t. So, at the end of the tenth year, the balance in the account is 5000(1+.0638)^10 = 9,280.47. $5,000 is your principal, and the remaining ($9,280.47 - $5,000) = $4,280.47 is the interest.

It means that the interest is paid out every three months (quarter year). That means that the interest paid out after 3 months is earning interest for the remaining nine months. The quarterly interest rate is such that this compounding is taken into account for the "headline" annual rate. As a result, if the quarterly interest is taken out, then the total interest earned in a year will be slightly less than the quoted annual rate.

Tare weight is the weight of the empty container. A tare function enables a scale to account for the weight of the container and display only the additional weight of the contents.

Related questions

Interest earned in a bank account is not an investment. It is considered an income. The money that you have in the bank account that earned the interest for you is considered the investment

Its where your savings account earns interest on the interest.

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This new type of bank account has compound interest.

Simple interest: stays the same. Compound interest: increases.

A savings account earns interest.

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A $5000 investment at an annual simple interest rate of 4.4% earned as much interest after one year as another investment in an account that earned 5.5% annual simple interest. How much was invested at 5.5%?

if a man opens a bank account and keeps a certain sum at certain rate of interest he will get back money with interest when he with draws money, a bank account represent only the investment element.

No. The "simple interest" method of calculation does not compound interest. It takes the annual interest rate and divides it by 365 to get the daily rate. The daily rate is then multiplied by the current balance to get the amount of interest that accrues per day. This interest is kept in a separate account from the principle, and interest does not accrue on the balance of that account. In compound interest, the principle and interest are kept in the same account, so interest accrues on past interest.

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