On January 1st, 2003, Gerry opened a savings account that paid 3. 25% annual interest. His initial deposit was $1,100. If Gerry didn’t deposit or withdraw any additional money, what was his balance at the close of December 31st, 2012?
The equation says A=p(1+r)^t A future value ? P present value which is 1100 R interest rate 3.25%×100=0.0325 T time from January 1st, 2003 to December 31st, 2012 which is 10 years Now apply them into the equation A=1,100×(1+0.0325)^(10) A=1514.59
