Answer:
Option C is the answer: $3,090.64
Step-by-step explanation:
Lloyd opened a savings account 13 years ago with a deposit of $5,003.86 the account has an interest rate of 3.7% compounded daily.
Means p = 5003.86
r = 3.7% or 0.037
t = 13
n = 365 (assuming there are 365 days in a year)
[tex]A=p(1+\frac{r}{n} )^{nt}[/tex]
[tex]A=5003.86(1+\frac{0.037}{365} )^{4745}[/tex]
=> [tex]A=5003.86(1.00010136)^{4745}[/tex]
A = $8094.09
Interest earned = [tex]8094.09-5003.86=3090.26[/tex] dollars
This is closest to option C, hence, option C is the answer.
