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zvonat [6]
3 years ago
10

Karl opens a savings account with $2500. He deposits $1500 every year into the account that has a 0.75% interest rate, compounde

d monthly. If he doesn't withdraw any money, what will the account balance be in 10 years?
Mathematics
1 answer:
tester [92]3 years ago
3 0
$1500 divided by 12 months = $125 per month. 0.75% x 120 (10 years x 12 months in each) = 90%. $125 x 120 = $15,000 + ($125 x 90%= $11,250) = $26,250. $26,250 + $2500 = $28,750 overall in the account after 10 years
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