Question

I WILL GIVE A MEDAL!

Answer 1

Kennedy opens a savings account with $500. He deposits $50 every month into the account that has a 0.95% interest rate, compounded annually. If he doesn't withdraw any money, what will the account balance be in 10 years?

$6,263.11
$6,322.61
$6,812.69
$6,872.19

Answer 2

@Jhane24 Please help

Answer 3

He deposits $50 every month into the account that has a 0.95% interest rate, compounded annually
=>
He deposits $600 every year into the account that has a 0.95% interest rate, compounded annually

Answer 4

Are you sure that what is written is 0.95%? If yes, then it would mean 0.0095.

Answer 5

So just use the regular compound intrest formula: A=P(1+i)^nt and then just add the extra 500 he put in at the beginning??

Answer 6

Now, you're learning.'