if $650 are deposited into an account with a 4% interest rate, compounded annually, what is the balance…

if $650 are deposited into an account with a 4% interest rate, compounded annually, what is the balance after 18 years? f = $? f = p(1 + \\frac{r}{n})^{nt} round to the nearest cent.

if $650 are deposited into an account with a 4% interest rate, compounded annually, what is the balance after 18 years? f = $? f = p(1 + \\frac{r}{n})^{nt} round to the nearest cent.

Answer

Explanation:

Step1: Identify the values

$P = 650$, $r=0.04$, $n = 1$, $t = 18$

Step2: Substitute into the compound - interest formula

$F=P(1 +\frac{r}{n})^{nt}=650(1+\frac{0.04}{1})^{1\times18}$

Step3: Calculate the exponent part

$(1 + 0.04)^{18}=1.04^{18}\approx2.025816$

Step4: Calculate the final amount

$F=650\times2.025816\approx1316.78$

Answer:

$1316.78$