ACT Math › How to find compound interest
If an account has interest compounded quarterly at an annual rate of , what is the balance of the account after
years of compounding if the initial balance is
? Round to the nearest cent.
If an account has interest compounded annually at a rate of , what is the balance of the account after
years of compounding if the initial balance is
? Round to the nearest cent.
Alice wants to invest money such that in years she has
. The interest rate is
compounded quarterly. How much should she invest?
An account is compounded at a given rate of interest annually for years. What is this rate if the beginning balance for the account was
and its ending balance
? Round to the nearest hundredth of a percent.
If an account has interest compounded annually at a rate of , what is the balance of the account after
years of compounding if the initial balance is
? Round to the nearest cent.
Michelle makes a bank deposit of $1,500 at 4.2% annual interest, compounded monthly. Approximately how much money will be in Michelle’s bank account in 3 years?
If a cash deposit account is opened with for a three year period at
% interest compounded once annually, which of the following is closest to the positive difference between the interest accrued in the third year and the interest accrued in the second year?
A five-year bond is opened with in it and an interest rate of
%, compounded annually. This account is allowed to compound for five years. Which of the following most closely approximates the total amount in the account after that period of time?
Ashley makes a bank deposit of at
annual interest, compounded monthly. About how many years will it take her deposit to grow to
?
Jack has ,
to invest. If he invests two-thirds of it into a high-yield savings account with an annual interest rate of
, compounded quarterly, and the other third in a regular savings account at
simple interest, how much does Jack earn after one year?