Question

Calculate the value of Aisha's investment account after 10 years if she invests $5,000 at 4% interest compounded annually using v(n)=5000(1.04) n
. Round to the nearest whole dollar:

Answer 1

v(10) = 5000(1.04)^{10} = 5000 × 1.04^{10} ≈ 5000 × 1.480244 = 7,401.22

Rounded to the nearest dollar: $7,401.