kurt has $9,000 in an account. the interest rate is 5% compounded annually. to the nearest cent, how much…

kurt has $9,000 in an account. the interest rate is 5% compounded annually. to the nearest cent, how much will he have in 1 year? 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.

kurt has $9,000 in an account. the interest rate is 5% compounded annually. to the nearest cent, how much will he have in 1 year? 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

Answer:

$9450.00

Explanation:

Step1: Convert interest rate to decimal

$r = 5%=0.05$

Step2: Identify values of $p$ and $t$

$p = 9000$, $t = 1$

Step3: Substitute values into formula

$B=p(1 + r)^t=9000\times(1 + 0.05)^1$

Step4: Calculate the result

$B=9000\times1.05 = 9450$