Heres the formula for compound interest:
A=P(1+
)^nt
A is the amount over 10 years
P is the initial deposit ($26,000)
r is the annual interest rate (4% or .04)
n is the number of times that interest is compounded annually (1)
t is the number of years the money is invested (10 yrs)
A=26000(1+
)^(1)(10)
A=26000(1.04)^10
A=26000(<span>1.48024428492)
A=$</span><span>38,486.3514079
(Simplified she would have $38,486.35)</span>
A=P(1+
A is the amount over 10 years
P is the initial deposit ($26,000)
r is the annual interest rate (4% or .04)
n is the number of times that interest is compounded annually (1)
t is the number of years the money is invested (10 yrs)
A=26000(1+
A=26000(1.04)^10
A=26000(<span>1.48024428492)
A=$</span><span>38,486.3514079
(Simplified she would have $38,486.35)</span>
