Answer:
the balance in the account after 20 years is $819
Step-by-step explanation:
The computation of the balance in the account after 20 years is shown below:
As we know that
Future value = Present value × (1 + rate of interest)^number of years
= $500 × (1 + 2.5%)^20
= $500 × 1.025^20
= $819
Hence, the balance in the account after 20 years is $819
