(a) Show that at an annual rate of r, if interest is compounded n times in a...
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(a) Show that at an annual rate of r, if interest is compounded n times in a year, then the amount in the account at the end of the year is A(1 + r/n)n, where A was the amount in the account at the start of the year.
(b) Show that if A0 is initially invested in an account that pays annual interest r, compounded n times yearly, then the amount in the account after t years is A(t) = A0(1 + r/n)nt.
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a Let A be the amount in the account at the start of the year and suppose ...View the full answer
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