darrell has $4,873 in an account that earns 5% interest compounded annually. to the nearest cent, how much…

Explanation:

Step1: Recall compound - interest formula

The compound - interest formula is $A = P(1 + r)^t$, where $P$ is the principal amount, $r$ is the annual interest rate (as a decimal), and $t$ is the number of years. Here, $P=$4873$, $r = 0.05$ (since $5%=0.05$), and $t = 2$.

Step2: Calculate the amount after 2 years

$A=4873\times(1 + 0.05)^2=4873\times(1.05)^2=4873\times1.1025=5372.4825$.

Step3: Calculate the interest earned

The interest $I$ earned is $I=A - P$. So, $I = 5372.4825-4873=499.4825\approx499.48$.

Answer:

$499.48$