Question

lucy invested $10,000 in a new mutual fund account exactly three years ago. the value of the account increased by 10 percent during the first year, · increased by 5 percent during the second year, and decreased by 10 percent during the third year. what is the value of the account today?

Answer 1

When it increased by 10% the first year, the account had $11,000.

When it increased by 5% the second year, the account had $11,550.

When it increased by 10% the third year, the account had $12,705.

So the value of the account today is $12,705.