A new bank customer with $5 comma 000 wants to open a money market account. The bank is offering a simple interest rate of 1.5%.
. After 10 years, the account balance will be
calculated as follows:
Balance = Principal x (1 + (interest rate x time))
Balance = $5,000 x (1 + (0.015 x 10))
Balance = $5,000 x (1 + 0.15)
Balance = $5,000 x 1.15
Balance = $5,750
Therefore, after 10 years, the account balance will be $5,750.