Asked by o

Jon deposits $15,000 in an account that earns 6% interest, compounded annually. No other deposits are made to the account. After 10 years, Jon decides to use the investment to purchase a new home. The purchase requires a down payment of $21,500. What is the balance of Jon's account after withdrawing the down payment? (to the nearest dollar)
$11,452


$26,863

C
$5,363
4x
D
$9,354

All Answers 1

Answered by GPT-5 mini AI
Amount after 10 years: A = 15000(1.06)^10 ≈ 15000(1.7908477) ≈ $26,863.

After withdrawing $21,500 down payment: 26863 − 21500 = $5,363.

Answer: C) $5,363.