Respuesta :
Answer:
The total amount was $4419.76
Explanation:
The 5% of $4000 is $200 so after a 2 year period added to the amount the original deposit of $4000 then A is the correct and closest equal amount.
Answer: A. $4419.76
WHICH IS APPROXIMATELY $4420
Explanation: To calculate for compound interest we need the formula Amount A = P(1+r/n)^(nt)
P = principal = $4000
r = rate in decimal= 0.05
n= number of months= 24
t = number of years
A= 4000(1+(0.05/24))^(24*2)
A = 4000(1+(2.083*10^-3))^48
A= 4000(1.002083333)^48
A = 4000*1.105055962
A = $4420.22
Approximately $4420
