Final answer:
Using the formula for compound interest, A = P(1 + r)^n, the account with an initial principal of $4,500 and an annual interest rate of 2.6%, compounded annually for 1 year, would have $4,617.00 after one year when rounded to the nearest cent.
Step-by-step explanation:
To calculate how much is in the account after one year with compound interest, you can use the formula:
A = P(1 + r)n
Where:
A is the amount of money accumulated after n years, including interest.
P is the principal amount (the initial amount of money).
r is the annual interest rate (decimal).
n is the number of times that interest is compounded per year.
Given:
P = $4,500
r = 2.6% or 0.026 (as a decimal)
n = 1 (since it's compounded annually for 1 year),
we plug these into the formula:
A = $4,500(1 + 0.026)1 = $4,500(1.026) = $4,617.00
After one year, the account would have $4,617.00, rounded to the nearest cent.