Math 6A, Section 1 - Swarthmore College

Homework 2 --- SOLUTIONS. These problems all assume constant, or almost constant, interest rates… Just the formulas. 1. If you deposit $18 at 18% interest, how much do you have after 18 years if… (a) it is simple interest? $ 76.32 = 18 ( 1 + 18 * 0.18 ) (b) it is compounded yearly? $ 354.12 = 18 ( 1.18 )18 (c) it is compounded monthly? ................
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