A deposit of exist8500 is made in an account that earns 7 in

A deposit of exist8500 is made in an account that earns 7% interest compounded quarterly. The balance in the account after n quarters is given by the following sequence. Find the balance in the account after two years. a_n = 8500(1 + 0.07/4)^n. n = 1, 2, 3, .. The balance after two years is exist (Do not round until the final answer. Then round to the nearest cent as needed.)

Solution

an = 8500(1+ 0.07/4)^n

after two years : n = 2

a2 = 8500(1+ 0.07/4)^2 = 9105.4125

= 9105.41