a principal of $5,350 is placed in an account that earns 3.5% interest. if the interest is compounded…

Answer:

D. $6,139.25

Explanation:

Step1: Identify compound - interest formula

The compound - interest formula is $A = P(1 + r)^t$, where $A$ is the amount of money in the account after $t$ years, $P$ is the principal amount, $r$ is the annual interest rate (in decimal form), and $t$ is the number of years.

Step2: Convert the interest rate to decimal

Given $r = 3.5%=0.035$, $P=$5350$, and $t = 4$ years.

Step3: Substitute values into the formula

$A=5350\times(1 + 0.035)^4$. First, calculate $1+0.035 = 1.035$. Then, $(1.035)^4=1.035\times1.035\times1.035\times1.035\approx1.147523$.

Step4: Calculate the final amount

$A = 5350\times1.147523\approx6139.25$.