Answer:
After 4 years , $800 principalat rate of 7% we have amount $ 1048.64
Step-by-step explanation:
Given : $800 principal earning 7% compounded annually, after 4 years.
We have to find the amount .
Using compound interest formula,
[tex]A=P(1+\frac{r}{100})^n[/tex]
Where , A is amount
P is principal amount
r is intrest rate
t is time period.
Substitute, P = 800 , t= 4 , r = 7%
We get,
[tex]A=800(1+\frac{7}{100})^4[/tex]
Simplify, we get,
A = 1048.64
Thus, after 4 years we have $ 1048.64
