Question

Nancy deposits $2500 into an investing account that pays 6. 1% annual interest compounded quarterly. What will be the balance

after 10 years? Round to the nearest cent

Answer 1

Explanation:

i = prt (interest = principal x rate x time)

i = 2500 x 0.061 x 10

i = $1525 interest

balance = principle + interest

balance = 2500 + 1525

balance = $4025 balance