Answer:
C. $452115.44
Step-by-step explanation:
To solve this, we will follow the steps below;
first write down the formula for compound interest
A= P [ 1 + [tex]\frac{r}{n}[/tex]]^nt
where A is the ending amount
P represent the principal
r represent the interest rate
n represent the number of compounding a year
t represent the time {in years)
from he question above
p= $318 000
r = 0.071
n = 4 since is quarterly
t= 5
we can now proceed to insert the values into the formula
A= P [ 1 + [tex]\frac{r}{n}[/tex]]^nt
=318 000 [1+[tex]\frac{0.071}{4}[/tex]] ^4(5)
= $318 000 [1+[tex]\frac{0.071}{4}[/tex]] ^20
=$318 000 [1+0.01775] ^20
= $318 000 [1.01775] ^20
=$318 000× 1.421747
≈$452 115.44
He will have $452 115.44 in the account
