Answer: $ 4860
Explanation:
Formula : Amount = P (1+rt) , P = principal value , r= rate of interest , t= time
Given ; P= $4500 , r = 4% = 0.04 , t = 2years
Total amount we will have to pay back to the bank =
![4500(1+0.04* 2)](https://img.qammunity.org/2022/formulas/mathematics/high-school/j3lrl3u74httom5xlfnqi7aznukruusqnw.png)
![=4500(1+0.08)\\\\=4500(1.08)\\\\=\$ 4860](https://img.qammunity.org/2022/formulas/mathematics/high-school/34wjevz9x01ylglc93l9nrqu9208vd9azn.png)
Hence, the total amount we will have to pay back to the bank = $ 4860