With the same rate of interest, monthly compounding is more than 3 times as large.
The ratio of the logarithms of capital+interest is 3.
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If you need a monthly income then obviously a monthly income is better. If the monthly interest is not withdrawn then it makes no difference because the annual interest rate is usually equal to the compounded monthly rate.
On monthly compounding, the monthly rate is one twelfth of the annual rate. Example if it is 6% annual, compounded monthly, that is 0.5% per month.
"How much money should be deposited at 4.5 percent interest compounded monthly for 3 years?"Incomplete question.... to do what?
Compounded annually: 2552.56 Compounded monthly: 2566.72
0.67 percent