I want to go to the Flea Market but I don t possess money 60



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Money market deposit accounts offer a higher yield than traditional savings accounts, according to Bankrate.com. Money market deposit accounts in addition receive Fed Deposit Insurance policy Corp. coverage on the event the bank fails. In exchange for the higher rate, deposits typically require the account to meet better minimum stability to avoid account fees. When calculating the attention earned on the accounts, you need to know how much you invested, the interest rate, how long the money will remain in the accounts and the way in which commonly interest is compounded.

Difficulty: Average

Instructions

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1 Break down the yearly interest rate on the money market account by the number regarding times each year interest compounds to find the periodic rate. For example, if your accounts compounds interest weekly and the annual curiosity rate equals 1. website4 percent, you would divide 1. website4 by 52 to grab a weekly rate of website. website2 percent.

4 Raise the outcome from Stage 3 to the power of the quantity of times curiosity will element on the account. In this example, if you remaining the money on the account for a single year, since curiosity compounds 52 times per year, you would bring up 1. website website2 to the 52nd power to procure 1. website1 website453217.

5 Multiply the end result from Step 4 by the amount about money originally put inside the money market account to find the value about the account after the specified time period. In this example, if you put $11,9 website internet site to the account, you would multiply $11,9 web site website by 1. website1 website453217 to find the final value of the consideration to be $12, website24.39.

6 Subtract the original amount away from the final amount to unearth the interest earned on the money market account. Finishing the example, you would take away $11,9 website web site from $12, website24.39 to get the interest to be $124.39.

References

Bankrate.com: Definitions DePaul School: Compound Curiosity Formula University regarding Arizona: Compound Curiosity plus APY

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