Julian puts 800.00 into an account to use for school expenses. The account earns 5% interest, compounded annually. How much will be in the account after 4 years?

Solution

Solution

Amount : 972.405

Solution steps

Translate the problem into an equation:

A = 800 (1 + \frac{0.05}{1})^{1 \cdot 4}

800 (1 + \frac{0.05}{1})^{1 \cdot 4} = 972.405

Amount : 972.405

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