Question

How much would $200 invested at 7% interest compounded annually be

worth after 5 years? Round your answer to the nearest cent.
AD) -
A. $280.51
B. $214.40
C. $270.00
D. S283.87

Answer 1

Answer: Choice A. $280.51

Work Shown:

A = P*(1+r/n)^(n*t) .... compound interest formula

A = 200(1+0.07/1)^(1*5) .... plug in given info

A = 200*(1.07)^5

A = 200*1.4025517307

A = 280.51034614

A = 280.51