if $1000 are deposited into an account with a 10% interest rate, compounded annually, what is the balance…

if $1000 are deposited into an account with a 10% interest rate, compounded annually, what is the balance after 10 years? f = $? f = p(1 + \\frac{r}{n})^{nt} round to the nearest cent.

if $1000 are deposited into an account with a 10% interest rate, compounded annually, what is the balance after 10 years? f = $? f = p(1 + \\frac{r}{n})^{nt} round to the nearest cent.

Answer

Explanation:

Step1: Identify the values

$P = 1000$, $r=0.1$, $n = 1$, $t = 10$

Step2: Substitute into formula

$F=P(1 + \frac{r}{n})^{nt}=1000\times(1+\frac{0.1}{1})^{1\times10}$

Step3: Calculate the exponent part

$(1 + 0.1)^{10}=1.1^{10}\approx 2.5937424601$

Step4: Calculate the final amount

$F = 1000\times2.5937424601\approx2593.74$

Answer:

$2593.74$