Question

Sam deposited $500 in a new

bank account.
• The bank pays 4% interest
compounded annually on this account.
Sam makes no more deposits or
withdrawals.
rounded to the nearest cent

Answer 1

$52000.00

Explanation:

formula= principal (1+(rate÷100))^years

500 (1+(4÷100))^1

500 (1+0.04)^1

500 (1.04)

520

$520.00

100 cents = $1

520×100

52000 cents