Question

Suppose you invest 2,500 at an annual rate of 7.5% compounded annually. How much will you have in the account after 10 years?

5,152.58

5,125.74

3,375.00

3,250.00

I think it's Either A or B but I'm not really sure. could I get some assistance with this?

Answer 1

You can use the formula

Balance = 2500 ( 1 + .075)^t

Answer 2

what is t?

Answer 3

t is number of years

Answer 4

oh okay so 2500 (1 + 0.75)^10

Answer 5

That doesn't seem to work though.

Answer 6

I came up with 673473... @perl

Answer 7

it should be
2500 ( 1 + .075) ^10

Answer 8

not .75

Answer 9

ohhhhh my bad

Answer 10

Oh I got it! thank you for your help :)

Answer 11

gehee