If You Deposit $1,000 in an Account That Earns 5

question 23

Multiple Choice

If you deposit $1,000 in an account that earns 5% per year (compounded monthly) ,what will the balance in the account be at the end of 5 years?

• A)$1,272
• B)$1,276
• C)$1,280
• D)$1,283

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Definitions:

Bank Service Charge

Fees charged by a bank for the use of its services, such as account maintenance, wire transfers, and overdraft fees.

Bank Statement Adjustment

The process of reconciling the balance of a bank account in the company's ledger with the balance reported on the bank statement, adjusting for items like outstanding checks or deposits in transit.

Company Books Adjustment

Modifications made to the entries in a company's accounting records, to correct errors or update the books to more accurately reflect financial positions.

EFT Deposit

EFT Deposit refers to the electronic transfer of funds from one bank account to another, commonly used for direct deposit of paychecks and other types of payments.