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Ivan has $ 1 5 , 0 0 0 in her savings account that pays interest at the effective rate of 5 % , compounded
Ivan has $ in her savings account that pays interest at the effective rate of
compounded annually. At the end of each year, Ivan withdraws the interest earned that year and extra
cash $ from the savings account. Then he invests them into Fund X that has an annual effective
rate of
a What is the remaining balance in Ivans savings account after the withdrawal is made at the end of years?
b What is the total balance of Fund X at the end of years?
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