Answer:
The balance is [tex]\$11,505.34[/tex]
Step-by-step explanation:
we know that
The compound interest formula is equal to
[tex]A=P(1+\frac{r}{n})^{nt}[/tex]
where
A is the Final Investment Value
P is the Principal amount of money to be invested
r is the rate of interest in decimal
t is Number of Time Periods
n is the number of times interest is compounded per year
in this problem we have
[tex]t=10\ years\\ P=\$7,000\\ r=0.05\\n=4[/tex]
substitute in the formula above
[tex]A=\$7,000(1+\frac{0.05}{4})^{4*10}=\$11,505.34[/tex]
