Problema Solution
Hi, I just need to know how to write a compound interest formula compounded monthly. Would it be A=P(1+r/k)k instead of A=P(1+r/k)kt because the question is just saying monthly and not yearly. Thank you for your help in advance.
Answer provided by our tutors
A=P(1+r/12)12t
Here k=12. Since it is compounded monthly, total periods in a year = 12.