Answer:
the value his child get after 25 years will be $84,314
Step-by-step explanation:
grandmother deposit = $ 7000
compounded interest monthly = 10%
for monthly compounded = 10/12 = 0.833%
time = 25 years = 25 × 12 = 300 months
compound interest =
[tex]A= P(1+\dfrac{r}{100})^t\\A=7000(1+\dfrac{0.833}{100})^{300}\\A = \$ 84,314[/tex]
hence the value his child get after 25 years will be $84,314
