At the end of 18 years, there will be $45,200 in the savings account.
Step-by-step explanation:
Step 1; First we must calculate how much interest there is in total over 18 years. The monthly interest rate is 10% × 12 = 120% i.e. 120% of $2,000 which equals $2,400. As the years pass, more and more will be put into the account due to interest. After 18 years, there will be an interest of 2,160% (120% per year * 18 years) of the initial amount.
Step 2; We must find the money due to interest and add it with the money that was put in initially. The interest amount is 18 times the $2,400 which was put in. The interest equals $43,200. With this, the initial $ 2,000 is added which comes to a total of $45,200
