The formula to calculate compound interest is
A = P(1 + r/n)^(nt)
where:
A = the amount of money accumulated after n years, including interest.
P = principal amount (the initial amount of money)
r = annual interest rate (in decimal)
n = number of times that interest applied per time period
t = time the money is invested for, in years
Since the interest is compounded once a year, n=1 and t= 1. r= 11% = 0.11 and P=$6500.
Plugging these into the formula, we get:
A = 6500(1 + 0.11/1)^(1*1)
A = $7215
So, the amount in the account at the end of one year would be $7215.
Suppose that $6,500 is placed in an account that pays 11% interest compounded each year assume that no withdrawals are made from the account find the amount and the account at the end of one year
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