Question

$28,000 invested at a rate of 4% compounded annually; 5 years

Answer 1

`\bf \qquad \textit{Compound Interest Earned Amount} \\\\ A=P\left(1+(r)/(n)\right)^(nt) \quad \begin{cases} A=\textit{compounded amount}\\ P=\textit{original amount deposited}\to &\$28,000\\ r=rate\to 4\%\to (4)/(100)\to &0.04\\ n= \begin{array}{llll} \textit{times it compounds per year}\\ \textit{annually, meaning once} \end{array}\to &1\\ t=years\to &5 \end{cases}`

Answer 2

$28 compounded on a Yearly basis over the course of 5 years at a 4% interest rate would be worth:

$34