Question

If shirley put $4000 in the bank at 6 percent interest compounded annually, how much would she have at the end of 2 years?

Answer 1

$4480

Explanation:

From the question statement, we observe that

Principal=$4000, Interest rate=6 percent=.06 , No. of years=2 years

Interest= Principal×Interest rate×No. of years

Interest=4000×.06×2

Interest=$480

total= Interest+Principal

total= $4000+$480

total =$4480

She would have $4480 at the end of two years.