Question

Cheryl deposits $7500 into the bank. She cannot withdraw or deposit any more money for 6 years. She earns 6% interest during that time.

How much interest will she have earned at the end of 6 years? (just put the numerical value, no $ sign) it is 2700


What will her new balance be when she is finally able to withdraw her money? (just put the numerical value, no $ sign)


please show work with this

Answer 1

Explanation:

Deposits. $7500

Duration = 6 years ( 72 months)

Interest rate = 6%

7500 ÷ 100 x 6 x 6

$75 x 6 = 450 x 6

= 2700

Total amount to be withdrawn at the end of 6 years

= 7500 + 2700

= 10,200.00