Question

If you save $25 per month for 12 months and earn 3% annual interest which is
calculated monthly? What is your account balance at the end of the year?

Answer 1

\[A=P(1+\frac{ r }{ n })^{nt}\]
A=amount
P=principal=25
r=rate of interest=.03
n=number of times in the year it is compounded
t=time in years

Answer 2

n=12

Answer 3

t=1

Answer 4

So if I factor in the information into the set equation I would get 33.622 correct?