Question

Lamar has received $2,000 each year for college
from his
grandmother for the four years that he was in high
school. He has
deposited the money on the same day each year in
an account that
pays 8% interest, compounded annually. How
much money has he saved?
A $7,012.22
B $9,012.22
C $720.98
D $9,733.20
I do not understand but I think it MIGHT be A?

Answer 1

Gee -- doesn't 2,000 times 4 = $8,000?

Then he has interest on top of that.

Answer 2

SO than D or B? :)