Mathematics, 29.02.2020 02:01 crispingolfer1864
The principal P0 is invested in an account that pays an annual interest rate r (written as a decimal), compounded n times per year.
The formula for the amount of money in the account at the end of the first period is given by the formula: p=p0(1+r/n)
Explain why the amount of money in the account at the end of the first year is given by the formula with n as the exponent: p=p0(1+r/n)^n
Answers: 1
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