Question

Gary invested $1,000 into an account earning interest at an annual rate of 5% compounded annually. Each year, he deposited an additional $1,000, and made no withdrawals. When he closed the account, he had a balance of $4,525.64. How much interest would Gary earn in that same time if he invests $10,000 and deposits $10,000 into the account each year?

Answer 1

so first we need to find out how much interest he earned a year so 525.64 divided by 4 which is 131.41 in interest a year so that 5% percent

so 10000 $ for 4 year he would earn 1900.5 so he would have 11,900.5

IM SORRY IT TOOK SO LONG