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padilas [110]
3 years ago
12

Deposits $10 in an account that earns an interest rate of 5% compounded annually. What is the balance in the account at the end

of 50 years?
A) 114.67

B) 234.57

C) 635.21

D) 75.26

This is important don't give me the wrong answer just for the points.
Mathematics
1 answer:
d1i1m1o1n [39]3 years ago
8 0
<span>Compound Interest is calculated on the initial payment and also on the interest of previous periods.

So after 1 year w/ 5% interest, $10 -> $10*1.05 = $10.5
after 2 year, the total becomes $10.5*1.05 = $11.025

formula to calculate is 10*(1.05)^50 = $114.67

ans is A</span>
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