Question

For the investment with interest compounded annually, find the final balance using the formula A = P(1 + r)t

$5000 for 5 years at 3.2%

A.
$5160.00

B.
$5852.86

C.
$20,037.32

D.
$25,800.00
Question Resources

Answer 1

B.
$5852.86

Working;
A = P(1 + r)^t
A=5000(1+$\frac{3.2}{100}$)^5
A=5852.86