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When Samuel was born, his grandmother opened up a savings account to save money to give to him as a graduation gift. Samuel’s grandmother deposited $1,750 into the account. It earns 4.25% simple interest each year. If his grandmother makes no additional deposits or withdrawals, what will be the total account balance after 18 years?

User Squrler
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1 Answer

3 votes

Answer:

$3088.75

Explanation:

4.25%= .0425
1750 x .0425 = 74.375

74.375 x 18 = 1338.75

1750+1338.75=3088.75

User Emandret
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