Question

When Brad was born, his Grandma put, $1,500 in a new account for him. Since then, the balance of the account, has grown by 6.5% each year with no other deposits or withdrawals. Now Brad is 18 and can withdraw the money. If he decides to wait until his 21st birthday, how much more money will be in the account?

Answer 1

Answer:

$969.04

Step-by-step explanation:

now at age of 18 Brad has 1500 * 1,065^18

at age of 21 he will have 1500 * 1,065^21

if he waits the difference will be 1500 * 1,065^21 - 1500 * 1,065^18 = $969.04