Thread: shelly, who recently sold her Porsche, placed $10k in a savings account paying

annual compound interest of 6%? (Future value) shelly, who recently sold her Porsche, placed $10,000 in a

savings account paying annual compound interest of 6%.
a. Calculate the amount of money that will accumulate if shelly leaves the money in the
bank for 1, 5, and 15 years.


b. Suppose shelly moves her money into an account that pays 8% or one that pays 10%.
Rework part (a) using 8% and 10%.


c. What conclusions can you draw about the relationship between interest rates, time,
and future sums from the calculations you just did?