Answer
a. $693,031$ dollars.
b. $293,031$ dollars.
Work Step by Step
a. Given
$P=10,000, r=0.105, n=4, t=10, $
we use the annuity formula:
$A=\frac{P[(1+\frac{r}{n})^{nt}-1]}{\frac{r}{n}}=\frac{10,000[(1+\frac{0.105}{4})^{4(10)}-1]}{\frac{0.105}{4}}\approx\$693,031$
b. The amount of interest earned is the difference between the final amount and the total investment:
$I=693,031-10,000(4)(10)=\$293,031$
