Annual interest of 2.0 percent paid if balance exceeds $1,000, $6 monthly fee if account falls below minimum balance, average monthly balance $1,090, account falls below $1,000 during 6 months. Round the answer to the nearest cent.

Calculating interest earned and future value of savings account

If you put $2,000 in a savings account that pays interest at the rate of 5 percent, compounded annually, how much will you have in 3 years? Round the answer to the nearest cent. Round FV-factor to three decimal places or use the Appendix A . (Hint: Use the future value formula.)

How much interest will you earn during the 3 years? Round the answer to the nearest cent.

If you put $2,000 at the end of each year into a savings account that pays interest at the rate of 5 percent a year, how much would you have after 3 years? Use the Appendix B . Round the answer to the nearest cent. Round FV-factor to three decimal places.

Answer rating: 100% (QA)

To calculate the future value of the savings account we can use the formula for c... View the full answer