Respuesta :
Answer:
$1,056.07
Explanation:
Given:
Amount spent each month = $83.42
Interest rate, r = 1.8% = 0.018
Time, n = 3 years
Now,
The total amount collected at the end of the year = $83.42 × 12 = $1001.04
The value of amount deposited in the bank after 3 years will be
Future value = Present value × ( 1 + r )ⁿ
on substituting the respective values, we have
Future value = $1001.04 × ( 1 + 0.018 )³
or
Future value = $1,056.07
Hence,
The money he could have at the end of 3 more years will be $1,056.07
