A savings account earns 7.2 (APR) compounded monthly, so it earns 0.6% each month. Cooper has $1500 in the account now. if he deposits an ad

Question

A savings account earns 7.2 (APR) compounded monthly, so it earns 0.6% each month. Cooper has $1500 in the account now. if he deposits an additional $500 at the beginning of the month, how much total interest will Cooper receive at the end of the month?
A.$12.00.
B.$15.60.
C.$14.40.
D.$12.60.
please help

0

Answers ( No )

    0
    2021-09-10T17:48:07+00:00

    Answer-

    Cooper will receive $12.00 at the end of the month.

    Solution-

    Cooper has $1500 in the account now and he deposits an additional $500 at the beginning of the month.

    So the total principal becomes 1500+500 = $2000

    Given here,

    APR = annual percentage rate = 7.2%

    But as we have to calculate the monthly interest, so monthly interest rate would be =\dfrac{7.2}{12}=0.6\%

    Time period = 1 month

    So, the interest after 1 month will be,

    \text{interest}=\dfrac{\text{Principal}\times \text{Rate of interest}\times \text{Time period}}{100}

    =\dfrac{2000\times 0.6\times 1}{100}

    =\$12.00

    Therefore, Cooper will receive $12.00 at the end of the month.

    0
    2021-09-10T17:48:24+00:00

    Answer:

    12 dollars is correct

    Step-by-step explanation:

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