Question

Will Mark Brainiest

Sara deposits $10 in an account that earns an interest rate of 5% compounded annually. What is the balance in the account at the end of 50 years?
A) $114.67
B) $234.57
C) $635.21
D) $75.26
8)
Davis puts $5,000 each year in an account that earns 5% annual interest, compounded annually. His brother Mike puts $5,000 each year in a safe in his bedroom. After the first 10 years of doing this, how much more money does Davis have than Mike? Round your answer to the nearest dollar.
A) $20,524
B) $2,500
C) $31,445
D) $8,144

Answer 1

Answer:

 1) Option A is the correct answer

 2) No options are correct.

Explanation:

The balance after n years is given by, B = P (1+r)ⁿ, where P is the principal, r is the rate of interest and n is the number of years.

  1)                 B = 10 (1+0.05)⁵⁰= 114.67$

      Option A is the correct answer.

  2) Balance of Davis after 10 years,  B = 5000 (1+0.05)¹⁰=8144.47 $

       How much more money does Davis have than Mike = 8144.47-5000= 3144.47$ = 3144$

    No options are correct.      

Answer 2

Answer:

1 A) $114.67

2 A) $20,524

Explanation: The balance after n years is given by, B = P (1+r)ⁿ, where P is the principal, r is the rate of interest and n is the number of years...

1)                 B = 10 (1+0.05)⁵⁰= 114.67$

2)Step-by-step explanation:

Davis: each year he adds $5,000 and he earns 5%.

1: 5,000(1.05) = 8,144.47

2: 13,144.47(1.05) = 13,801.69

3: 18,801.69(1.05) = 19,741.78

4: 24,741.78(1.05) = 25,978.87

5: 30,978.87(1.05) = 32,527.81

6: 37,527.81(1.05) = 39,404.20

7: 44,404.20(1.05) = 46,624.41

8: 51,624.41(1.05) = 54,205.63

9: 59,205.63(1.05) = 62,165.91

10: 67,165.91(1.05) = 70,524.21

Mike: he saves $5,000 each year, no interest.

$5,000 · 10 = $50,000

$70,524.21 − $50,000 = $20,524