assume your bank is giving you a rate of 2.3 % compunded monthly, and paid over a 5 year term. Determine what your monthly payments will be?

Guest Jan 27, 2012

#1**0 **

The amount at a given time = A

The amount you began with = B

The amount of time that has passed in months = t

A=B*e^.023t

The number e is an important mathematical constant, approximately equal to 2.71828, that is the base of the natural logarithm.[1] It is the limit of (1 + 1/n)n as n becomes large, an expression that arises in the study of compound interest, and can also be calculated as the sum of the infinite series.

Without knowing the starting amount and if you are taking out the interest each month or allowing it to compound I cannot give any closer answer.

- Ivy

The amount you began with = B

The amount of time that has passed in months = t

A=B*e^.023t

The number e is an important mathematical constant, approximately equal to 2.71828, that is the base of the natural logarithm.[1] It is the limit of (1 + 1/n)n as n becomes large, an expression that arises in the study of compound interest, and can also be calculated as the sum of the infinite series.

Without knowing the starting amount and if you are taking out the interest each month or allowing it to compound I cannot give any closer answer.

- Ivy

Ivy Orchid
Jul 22, 2012