Allison invested $1300 in an account that pays 4.25% interest compounded annually. Assuming no deposits or withdrawals are made, find how much money Allison would have in the account 15 years after her initial investment.
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Answer:
Final balance is $2427.08, she made $1127.08
Step-by-step explanation:
For this first part you just multiply 1300*1.0425 and then you multiply the product by 1.0425 15 times. You do this because you gain 4.25% every year so you need to account for the extra money gained by multiplying by the new balance
Answer:
Final balance is $2427.08, she made $1127.08
Step-by-step explanation:
For this first part you just multiply 1300*1.0425 and then you multiply the product by 1.0425 15 times. You do this because you gain 4.25% every year so you need to account for the extra money gained by multiplying by the new balance