4. Tikili wants to invest $3500 at her local bank. She will receive an interest rate of 5% compounded
annually. What is the value of her investment after two years?

Answer :

kamden108

Answer:

[tex]3863.35 = 3500(1 + \frac{0.05}{2} )^{(2 \times 2)} [/tex]

Step-by-step explanation:

The formula for this equation is

[tex]a = p(1 + \frac{r}{n} )^{(n \times t)} [/tex]

a is the final result

p is the starting amount (deposited)

r is the interest rate

n is the number of times it's compounded

t is the time

because it says compound annually and it's after 2 years both t and n equal 2. I rounded a for you, but if you don't need it rounded here it is: 3863.345117

Please double check me I may be wrong, this is my second time doing these type of questions

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