Question

Find the balance in a $900 interest account after 10 years if the interest rate is 4.62%, compounded annually.

$1,413.81

$941.58

$415.80

$4,158.00

Answer 1

The formula is
A=p (1+r)^t

A future value?
P present value 900
R interest rate 0.0462
T time 10 years

A=900×(1+0.0462)^(10)
A=1,413.81