Answer:
(d) 810.34
Step-by-step explanation:
The explicit formula used for calculating the account's balance is given by:
A= P(1+R)^T
where: A= Amount (account's balance)
P= Principal (700)
R= Rate (5%)
T= Time (3 years) [since, the balance is calculated in the beginning of the forth year]
A= P(1+R)^T
A = 700(1+0.05)^3
= 700(1.05)^3
= 700*1.157
= 810.34
