Question

A principal of $4,570 is placed in an account that earns 4.5% interest. If the interest is compounded annually, how much money will be in the account at the end of 5 years?

Answer 1

$5695.05

Explanation:

`I = 4.5`
`P= 4570`
`t=5`

`P*(1+(I/100))^t`

`4570*(1+(4.5/100))^5`

`4570*(1.045)^5`

`4570*1.2461819`

$5695.05