Question

Dan deposits $2,500 in an account that earns an interest rate of 4% compounded annually. What is the balance in the account at the end of 10 years? A) $2,800.45 B) $3,112.85 C) $3,700.61 D) $3,935.58

Answer 1

I just finished taking the test. And the answer to this question is C) 3,700.61

A = P( 1 + r)t
A = $2,500(1 + 0.04)10
A = $2,500(1.4802)
A = $3,700.61

Answer 2

////////////C) 3,700.61////////////