5.8 Finance: Compound interest
Finance: Compound interest
Lessons
Notes:
exponential growth/decay: ${ A_f = A_i (1+\frac{r}{n})^{nt}}$
${A_f}$: final amount
${A_i}$: initial amount
${r}$ : Annual interest rate
${t}$: total time given in years
${n}$ : number of times compounded in a year, if
Compound daily: 
n = 365 
Compound monthly: 
n = 12 
Compound quarterly: 
n = 4 
Compound semiannually: 
n = 2 
Compound annually: 
n = 1 

1.
Bianca deposits $1,000 in a savings account with an annual interest rate of
12%. How much money will she have in 20 years, if the interest is compounded: