Question

If you deposit $5,000 in a bank account that pays 4% interest annually, how much will be in your account after 5 years? round your answer to the nearest cent.

Answer 1

The formula is
A=p (1+r)^t
A future value?
P present value 5000
R interest rate 0.04
T time 5years
A=5,000×(1+0.04)^(5)
A=6,083.26