You Save Bank has a unique account. If you deposit $5,750 today, the bank will pay you an annual interest rate of 6 percent for 3 years, 6.6 percent for 2 years, and 7.3 percent for 6 years. How much will you have in your account in 11 years

$11,876.77

Explanation:

A save bank has a unique account. The present value deposited is $5,750

The bank is willing to pay an annual interest rate of 6% for 3 years

= 6/100

= 0.06

6.6% interest rate for a period of 2 years

= 6.6/100

= 0.066

7.3% interest rate for a period of 6 years

= 7.3/100

= 0.073

Therefore, amount that will be present in the account in 11 years can be calculated as follows

A= P(1+r/100)^n

Where A is the future value, P is the present value , r is the interest rate and n is the number of years

A = $5,750 × (1+0.06)^3 × (1+0.066)^2 × (1+0.073)^6

A= $5,750× 1.06^3 × 1.066^2 × 1.073^6

A=$5,750×1.191016×1.136356×1.52615390

A= $5,750×2.06552443

A= $11,876.77

Hence the amount of money that would be in the account in 11 years is $11,876.77

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