Anthony W. answered • 03/31/15

Tutor

5
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Experienced Math Tutor for K-12/College students

Hi Mo,

For the first option, you can use the formula:

A=P(1+i/n)^nt

Where,

A = final amount

P = initial deposit

i = interest (in decimals)

n = number of compounds per year

t = years

The second option is calculated by using

A=M(((1+i/n)^nt) -1)(n/i)

Where,

A = final amount

M = deposits per period

i = interest (in decimals)

n = number of periods per year

t = years

M = deposits per period

i = interest (in decimals)

n = number of periods per year

t = years

Hope this helps