Answer:
$2,226.96
Step-by-step explanation:
You are going to want to use the compound interest formula, which is shown below.
[tex]A=P(1+\frac{r}{n} )^{nt}[/tex]
P = initial balance
r = interest rate
n = number of times compounded annually
t = time
First, change 10% into its decimal form:
10% -> [tex]\frac{10}{100}[/tex] -> 0.1
Now lets plug in the values into the equation:
[tex]A=500(1+\frac{0.1}{12})^{15(12)}[/tex]
[tex]A=2,226.96[/tex]
The final amount after 15 years is $2,226.96
