The Fresh and Green Company has a savings plan for it's employees. If an employee makes an initial contribution of $1000, the company pays 8% interest compounded quarterly. If an employee participating in the plan withdraws the balance of the account after 5 years, how much will be in the account?
Use the equation: A(1 + r) ^t A = Principle Amount R = Rate T = Time (Years) 1000 (1 + .08) ^ 5 1000 (1.08) ^ 5 1000 (1.50) $1,500 will be in the account after five years. Hope this helps!