Tom opens a bank account and makes an initial deposit of $500. the banker tells tom that he is going to receive an annual rate of 6% on his investment. find the bank balance assuming tom leaves the account untouched for 15 years.

Since tom did not touch the whatsoever,   it means that the interest revenue wast kept compounded in the balance

1 year . .500 x 6% = 30
2   year . .530 x 6 % = 48
  . . ..
until year 15

you will see that in the end, the amount would be $ 1,198.28

hope this

Here for a good time of free question