Question

Victoria Firth’s savings account balance is $247. She deposits an additional $353. The account pays 5.5% interest compounded daily. She makes no other deposits or withdrawals. What will the new balance be after 31 days?

Answer 1

602.809

Answer 2

so 602.81 ...

Answer 3

Years = 31/365
Years = 0.0849315068

5.5% yearly interest
Rate Compounded Daily = (1+.055/365)^365
Rate Compounded Daily = 1.05653623699373 -1
5.5% Rate Compounded Daily = .05653623699373

Total = Principal × ( 1 + Rate )^years
Total = 600.00 * (1.05653623699373)^0.0849315068
Total = 600.00 * 1.0046818065
Total = 602.8090839214
OR 602.81 rounded

Compound Interest Calculator:
http://1728.org/compint.htm