Question

2. Imagine you have invested $800 into a savings account that earns 3.5% interest

compounded annually. What is the balance of your account after 5 years without more
deposits or withdrawals?

PLEASE HELP

Answer 1

The balance of your account after 5 years without more deposits or withdrawals will be $950.15.

Explanation:

Answer 2

The amount after 5 years is $ 950.15

Explanation:

Given,

Principle (P) = $ 800

Time (T) = 5 years

Rate of interest (R) = 3.5%

To find the amount after 5 years.

Formula

The amount after T years compounded annually is A = P
`(1+(R)/(100) )^(T)`

Now,

Putting the values of P, T, R we get,

A = $ 800
`(1+(3.5)/(100) )^(5)`

= $ 950.15 (approx)