elizabeth has $47 in an account. the interest rate is 10% compounded annually. to the nearest cent, how much…

elizabeth has $47 in an account. the interest rate is 10% compounded annually. to the nearest cent, how much will she have in 5 years? use the formula $b = p(1 + r)^t$, where $b$ is the balance (final amount), $p$ is the principal (starting amount), $r$ is the interest rate expressed as a decimal, and $t$ is the time in years.

elizabeth has $47 in an account. the interest rate is 10% compounded annually. to the nearest cent, how much will she have in 5 years? use the formula $b = p(1 + r)^t$, where $b$ is the balance (final amount), $p$ is the principal (starting amount), $r$ is the interest rate expressed as a decimal, and $t$ is the time in years.

Answer

Explanation:

Step1: Identify values

$p = 47$, $r=0.1$, $t = 5$

Step2: Substitute into formula

$B=47\times(1 + 0.1)^{5}$

Step3: Calculate $(1 + 0.1)^{5}$

$(1 + 0.1)^{5}=1.1^{5}=1.61051$

Step4: Calculate final amount

$B = 47\times1.61051=75.69397\approx75.69$

Answer:

$75.69$