Answer:
we find that the account will be worth approximately $10,305.66 in 30 years.
Explanation:
To calculate the future value of an investment, we can use the compound interest formula:
A = P(1 + r/n)^(nt)
Where:
A = the future value of the investment
P = the principal amount (initial investment)
r = the annual interest rate (expressed as a decimal)
n = the number of times interest is compounded per year
t = the number of years
In this case, you have an initial investment of $3,610, an annual interest rate of 4% (0.04 as a decimal), and the interest is compounded annually (n = 1). The investment period is 30 years (t = 30).
Using the formula:
A = 3610(1 + 0.04/1)^(1*30)
A = 3610(1 + 0.04)^30
A = 3610(1.04)^30
Calculating this expression, we find that the account will be worth approximately $10,305.66 in 30 years.