Please help! Ill fan and medal!
The principal P 0 is invested in an account that pays an annual interest rate r (written as a decimal), compounded n times per year. 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=Po(1+r/n)^n

Question

Please help! Ill fan and medal! 
The principal P 0 is invested in an account that pays an annual interest rate r (written as a decimal), compounded n times per year. 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=Po(1+r/n)^n

anonymous · Answer

sorry

setsuna-yuregeshi · Answer

Well,first, do you know what the r stands for? What does the n stand for?

anonymous · Answer

@Setsuna-Yuregeshi
n is the numbr of times it is compounded
and r is the annual interest rate

anonymous · Answer

So  p^r +n =1r