an initial amount of $800 is invested in a compound savings account with an annual interest rate of 4.5%…

an initial amount of $800 is invested in a compound savings account with an annual interest rate of 4.5%. using the formula $a = p(1 + r)^t$, what is the balance after five years?\n$836.00\n$873.62\n$980.00\n$996.95

an initial amount of $800 is invested in a compound savings account with an annual interest rate of 4.5%. using the formula $a = p(1 + r)^t$, what is the balance after five years?\n$836.00\n$873.62\n$980.00\n$996.95

Answer

Explanation:

Step1: Identify values

$P = 800$, $r=0.045$, $t = 5$

Step2: Substitute into formula

$A=800\times(1 + 0.045)^{5}$

Step3: Calculate $(1 + 0.045)^{5}$

$(1 + 0.045)^{5}=1.045^{5}\approx1.24618$

Step4: Calculate $A$

$A = 800\times1.24618=996.944\approx996.95$

Answer:

D. $996.95$