Answer:
$805.25
Explanation:
Suppose you invest $500 at 10% interest, compounded annually. After 5 years, how much money would you have in your account? Remember, the formula is A = P(1 + r)t.
Given data
Principal= $500
Rate= 10%
Time= 5years
The compound interest expression is
A=P(1+r)^t
substitute
A=500(1+0.1)^5
A=500(1.1)^5
A=500*1.61051
A=$805.25
Hence the account is $805.25