A customer deposits $500 in an account that pays 4% annual interest. What is the balance after 3 years if the interest is compounded annually?

asked Jun 22, 2019 86.7k views

4 votes

5.5k points

Please log in or register to add a comment.

1 vote

Answer: $562.43

Explanation:

i got it right on edge 2020

Hillin answered Jun 23, 2019

4.5k points

3 votes

A(t) = P(1+(r/n))^(nt)

A(3) = 500(1+0.04/1))^(1*3)

A(3) = 500(1.04)^3

A(3) = $562.43

Anayza answered Jun 28, 2019

5.0k points

Welcome to QAmmunity.org, where you can ask questions and receive answers from other members of our community.

5.8m questions

7.5m answers