Question

Earl has deposited $798 in a savings account that earns interest at a rate of 3.1% compounded quarterly. What will the account balance be in 21 years?

Answer 1

the answer is d

Explanation:

Answer 2

`A=P(1+ (r)/(n) )^(rt)`

A=future amount
P=present amount
r=rate in percent
n=number of times per year it is compounded
t=time in years


given
P=798
r=0.031
n=4
t=21


`A=798(1+ (0.031)/(4) )^((4)(21))`

`A=798(1+ 0.00775 )^(84))`

`A=798(1.00775 )^(84))`
A=1526.2956
A=1526.30

about $1526.30