Final answer:
Carlos's initial $900 investment at 7.9% interest compounded annually will grow to $1412.52 after 6 years using the compound interest formula.
Step-by-step explanation:
Compound Interest Calculation:
Carlos invested $900 at an annual interest rate of 7.9% that compounds annually. To determine how much money will be in the account after 6 years, we can use the compound interest formula A = P(1 + r/n)^(nt), 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, and t is the time in years.
Since the interest is compounded annually, n is 1. Using the formula:
A = $900 (1 + 0.079/1)^(1*6) = $900 (1 + 0.079)^6
A = $900 (1.079)^6
A = $900 * 1.569463
A = $1412.52
After 6 years, Carlos will have $1412.52 in the account.