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

Question 255

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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