An amount of $850 was invested in a savings account at the end of every three months for ten years. The interest rate on the account was 4.5% compounded quarterly.

a. Calculate the accumulated amount in the account.

b. After the first investment of $850, if the amount was increased by 1% thereafter every three months for the time period, calculate the accumulated amount in the account.

c. What was the total amount of interest earned in the constant-growth account?

AppendixLO1