You have $3,750 to deposit. if you deposit the money in a savings account at your local bank, you will earn 1.75% annual interest and will be able to make atm withdrawals at your bank’s atms. if you deposit the money in an online savings account, you will earn 3.25% interest, but you will be charged $4 every time you make an atm withdrawal. assuming that your atm withdrawals do not reduce the amount of interest you earn, roughly how often must you make an atm withdrawal for the local savings account to be a better deal than the online savings account?

15 withdrawals.

Step-by-step explanation:

If you deposit $3,750 at your local bank, you will earn interest 1.75%.

We will calculate the interest after one year by using formula

I = Prt

Were P = Principal amount  ($3,750)

         r = rate of interest ( 1.75%) = 1.75/100 = 0.0175

         t = time in years (1 year)

I = 3,750 × 0.0175 × 1

 = 3,750 × 0.0175

 = 65.625 ≈ $65.63

If you deposit $3,750 in an online saving account, you will earn 3.25% interest.

Now we will calculate the interest after one year of this account by using the same formula as above.

I = 3,750 × 0.0325 × 1

 = 3,750 × 0.0325

 = 121.875 ≈ $121.88

Difference in interest = 121.88 - 65.63 = $56.25

You will earn in online saving account $56.25 more as interest but you will be charged $4.00 every time you make an ATM withdrawal.

We will divide $56.25 by $4.00 to get how many withdrawals make local saving account to be a better deal.

= 14.0625 ≈ 15

After 15 withdrawal your local savings account to be a better deal than the online savings account.

step-by-step explanation:

= 5

step-by-step explanation:

to find the 15th term substitute n = 15 into the nth term formula

= (- 3 × 15 ) + 50 = - 45 + 50 = 5