Question

Fowler credit bank is offering 6.9 percent compounded daily on its savings accounts. you deposit $5,300 today. how much will you have in the account in 4 years?

Answer 1

Principal, P = $5,300
Rate, r = 6.9% = 0.069
Compounding interval, n = 365
Time, t = 4 years

Note that n*t = 365*4 = 1460.
The value after 4 years is
A = 5300*(1 + 0.069/365)¹⁴⁶⁰ = 5300*1.3178 = 6984.41

Answer: $6,984.41