How much will a $1 deposit be worth after 36 years if the interest rate paid by the bank is 8%?

Principal is the amount deposited from a bank of a financial institution for a given period of time. In this case, the principal = $ 1, time = 36 years and the rate of interest = 8%.

To get the amount paid by the bank after 36 years will be given by the formula

A = P (1+r/100) ∧n, where A is the amount paid, P is the principal amount, r is the rate of interest and n is the time taken (interest period)

Amount = 1 (1+8/100) ∧36

= 1 (1.08) ∧36

= 15.968

Therefore, the bank paid $15.968 after 36 years.