rob has $7,869 in an account that earns 13% interest compounded annually. to the nearest cent, how much will…

rob has $7,869 in an account that earns 13% interest compounded annually. to the nearest cent, how much will he 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.

rob has $7,869 in an account that earns 13% interest compounded annually. to the nearest cent, how much will he 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 the values

$p = 7869$, $r=0.13$, $t = 5$

Step2: Substitute into the formula

$B=p(1 + r)^t=7869\times(1 + 0.13)^5$

Step3: Calculate $(1 + 0.13)^5$

$(1 + 0.13)^5=1.13^5=1.8424351$

Step4: Calculate the final amount

$B=7869\times1.8424351\approx14498.12$

Answer:

$14498.12$