Suppose That Ian Greitzer Deposits His $13,000 Bonus in an Account

question 72

Multiple Choice

Suppose that Ian Greitzer deposits his $13,000 bonus in an account that earns an annual rate of 8.5%, compounded quarterly, and makes additional deposits of $400 at the end of each quarter for the next 21.5 years, until he retires. How much was deposited? Round your answer to the nearest cent. ​

• A)$458,674.18
• B)$22,243.99
• C)$175,312.58
• D)$85,960,962.98
• E)$19,932.99

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Definitions:

Balance Sheet

A report detailing a business's assets, liabilities, and equity held by shareholders at a certain moment.

Revenue

The total amount of money received by a company from its business activities, such as sales of goods or services, before any expenses are subtracted.

Expense Accounts

Accounts used to record transactions relating to expenses incurred by a business, such as costs for materials, utilities, and salaries.

Common Stock

Equity securities representing ownership in a corporation, giving holders voting rights and a share in the company’s profits through dividends.