Question

Maria invested $2000 in an account that earns 4.5% interest, compound annually. the formula for compound interest is A(t)=P(1+i)^t. how much did Maria have in the account after 5 years

Answer 1

2492.36

Make sure to round to nearest 10th

Answer 2

$2492.36

Explanation:

1. Lay out the equation: 2000x(1+0.045)^5.

2. Solve. 2000x(1+0.045)^5=2492.3638753063

3. Round to the nearest hundredth to get 2492.36.