CORRECT ANSWERS ONLY 50+ POINTS!!!!!!
At the beginning of year 1, Paolo invests $500 at an annual compound interest rate of 4%. He makes no deposits to or withdrawals from the account. Which explicit formula can be used to find the account\’s balance at the beginning of year 5? What is the balance?
A. A(n) = 500 • (1 + 0.04)n; $608.33
B. A(n) = 500 + (n – 1)(0.04 • 500); $580.00
C. A(n) = 500 • (1 + 0.04)(n – 1); $584.93
D. A(n) = 500 + (0.004 • 500)(n – 1); $516.00