An investment account earns 4% per year compounded annually. If the initial investment was $4,000.00, how much is in the account after 3 years? Round your answer to the nearest dollar.

Question

6 March, 21:35

+4

Answers (2)

Know the Answer?

Sarahi Hanna · Answer 1

4% would equal 0.04

$4,000 x 0.04 = $4,160

$4,160 x 0.04 = $4,326.40

$4,326.40 x 0.04 = $4,499.456

The answer would be rounded to $4,499

Atticus Herring · Answer 2

I believe the answer is 4960, because 4% of 4000 is 160, next year is 8%, 320. Next year, 12%, 480. 160 + 320 + 480 = 960