Answer:
$216.32
Step-by-step explanation:
The formula for compound interest is given as:
A = P(1 + r/n)^nt
Where:
A = Amount after t years= ??
P = Principal = Initial amount invested $200
r = Interest rate = 4%
t = time in years = 2
n = Compounding frequency = Annually = 1
First, convert R percent to r a decimal
r = R/100
r = 4%/100
r = 0.04 per year,
Then, solve our equation for A
A = P(1 + r/n)^nt
A = 200.00(1 + 0.04/1)^(1 × 2)
A = $ 216.32
The amount of money that will be in the account at the end of two years is $216.32
