Answer:
$49,159.14, rounded to the nearest cent.
Explanation:
To calculate the value of the account after 3 years, we can use the formula for compound interest:
A = P(1 + r/n)^(nt)
Where:
A = the final amount in the account
P = the initial investment amount
r = the interest rate (as a decimal)
n = the number of times the interest is compounded per year
t = the number of years
In this case, P = $45,000, r = 0.018 (1.8% expressed as a decimal), n = 12 (since the interest is compounded monthly), and t = 3.
Plugging these values into the formula, we get:
A = 45,000(1 + 0.018/12)^(12*3)
A ≈ $49,159.14
Therefore, the value of the account after 3 years is approximately $49,159.14, rounded to the nearest cent.