What is the total value of an account with a $235 initial deposit that is compounded annually at 4.5% for two years?

1) $256.15

2) $244.40

3) $245.58

4) $256.63

Respuesta :

the answer is option 1 
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hope this helps again lol
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Zane
The compound interest formula is:

Amount = Principal ( 1+ rate/number of compounds) ^ number of compounds*number of years

Filling in the given information:
 Amount = 235 * (1+(0.045/1)^1*2

Amount = 235 * (1.045)^2

Amount = 235 * 1.092025

Amount = 256.63

 The answer is number 4

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