Question

3. If you deposit $820 into a savings account that makes 5% yearly interest, how much money willbe in the account in 7 years? Round answer to 2 decimal places.Hint : use y = a(b) ^x or y = a(1 + r)^x

Answer 1

We can use the formula:

$\begin{gathered} \text{Total money= deposit +}years(deposit\times interest) \\ Total\text{ money= 820 +}7(820\times0.05) \\ \text{Total}=1107\text{ usd} \end{gathered}$