SOLUTION: In 2010 Staci invested $13,000 in a savings account for her newborn son. The account pays 5.5% interest each year. Determine the accrued value of the account in the year 2028, when

Question 1202843: In 2010 Staci invested $13,000 in a savings account for her newborn son. The account pays 5.5% interest each year. Determine the accrued value of the account in the year 2028, when her son will go to college. Round your answer the nearest cent.
In the year 2028, the accrued value will be
Answer by ikleyn(52803) (Show Source): You can put this solution on YOUR website!
.


After 1 year, in the year 2011, the accrued value will be 13000*(1+0.055) = 13715.

After 2 year, in the year 2012, the accrued value will be  = 14469.33.

After 3 year, in the year 2013, the accrued value will be  = 15265.14.


. . . . and so on . . . . 


After 18 year, in the year 2028, the accrued value will be  = 34079.06.    ANSWER

Solved, with explanations.

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- Compounded interest percentage problems
in this site.

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