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A Home Improvement Firm Has Quoted a Price of $9,800

Question 4

Multiple Choice

A home improvement firm has quoted a price of $9,800 to fix up John's backyard. Five years ago, John put $7,500 into a home improvement account that has earned an average of 5.25% per year. Does John have enough money in his account to pay for the backyard fix-up?


A) Yes; John now has exactly $9,800 in his home improvement account.
B) No; John has only $9,687 in his home improvement account.
C) Yes; John now has $10,519 in his home improvement account.
D) There is not enough information to answer this question.

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