Answer:
A: See explanation B: $4,028.66
Explanation:
(A)
1) If P = present value, and the present value (the amount Kylie originally deposited) is $2,500, P = 2,500.
2) If r = annual percentage rate written as a decimal, and the percentage rate is 4.8, r = 0.048.
3) If n = the number of times each year the interest is compounded, and the interest is compounded quarterly (4 times a year), n = 4.
(B)
1) Set up the equation. We know that the equation is:
S(t) = 2,500(1 + 0.048/4)^4(10)
2) Simplify the equation.
S(t) = 2,500(1.012)^40
S(t) = 4,028.659
3) Add label and round to get the final answer.
$4,028.66