Lou has an account with $10,000 which pays 6% interest compounded annually. If to that account, Lou deposits $5,000 at the beginning of each year for 2 years, find out the amount in the account after the last deposit.
a.
$10,300.00
c.
$21,500.00
b.
$20,300.00
d.
$22,154.00

Question

Lou has an account with $10,000 which pays 6% interest compounded annually. If to that account, Lou deposits $5,000 at the beginning of each year for 2 years, find out the amount in the account after the last deposit.
a.
$10,300.00
c.
$21,500.00
b.
$20,300.00
d.
$22,154.00

anonymous · Answer

I will set up the formula for you: A = P(1+r/n)^nt

anonymous · Answer

p = principal amount, r = rate (expressed as a decimal), n = number of compounds, and t = time

anonymous · Answer

c?