Given:
Principal amount = 5,000
interest rate = 6.25%
number of times the interest is compounded per year; 12 times, monthly
terms = number of years; 5 years, 60 months
A = P (1 + r/n)^nt
A = 5,000 (1 + .0625/12)^12*5
A = 5,000 (1 + 0.005)⁶⁰
A = 5,000 (1.35)
A = 6,750
6,750 / 60 months = 112.50 per month
