Question

Bob’s account statement showed the previous balance, $6,756.21; interest, $28.15; deposits, $12,350.22, $3,210.57, and $3,209.87; withdrawals, $175.00 and $2,900.00. What is Bob's new account balance?

a) $21,479.55
b) $20,879.55
c) $21,579.55
d) $20,779.55

Answer 1

Bob's new account balance is calculated by adding the previous balance and interest to the sum of deposits, and then subtracting the withdrawals; the correct new balance is $22,479.02, which is not among the provided options.

Step-by-step explanation:

To determine Bob's new account balance, we need to calculate the sum of deposits and interest, and then subtract the sum of withdrawals from the previous balance.

Here is the calculation:

• Previous balance: $6,756.21
• Interest: $28.15
• Deposits: $12,350.22, $3,210.57, and $3,209.87
• Withdrawals: $175.00 and $2,900.00

First, sum the deposits and interest: $6,756.21(previous balance) + $28.15(interest) + $12,350.22 + $3,210.57 + $3,209.87(deposits) = $25,554.02

Next, sum the withdrawals: $175.00 + $2,900.00 = $3,075.00

Finally, subtract the withdrawals from the sum of deposits and interest: $25,554.02 - $3,075.00 = $22,479.02

Therefore, Bob's new account balance is $22,479.02, which is not reflected in the provided options a) through d). There must be an error, as none of the options match the correct calculation.