Seven Years Ago David Deposited $10,000 into an Account Earning

question 194

Multiple Choice

Seven years ago David deposited $10,000 into an account earning 5.25% compounded monthly. Recently, David was quoted by a home improvement firm a price of $15,000 to renovate his roof.
Does David have enough cash on hand to pay for the roof?

• A) Yes. David now has exactly $15,000 in his account.
• B) No. David has only $14,430 in his account.
• C) Yes. David now has $17,818 in his account.
• D) No. David has $12,818 in his account
• E) No. David has only $11,508 in his account

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Definitions:

Thymine

A nitrogenous base found in DNA, pairing with adenine through hydrogen bonds.

Guanine

A nucleobase found in DNA and RNA, which pairs with cytosine.

Nucleolus

Dark-staining, spherical body in the nucleus that produces ribosomal subunits.

Ribosomal RNA

RNA molecules that form the core of the ribosome, playing a crucial role in the synthesis of proteins.