Answer:
$5518.93
Step-by-step explanation:
Compound interest formula:
[tex]A=P(1+\frac{r}{n})^{nt}[/tex]
where P is the principal (starting amount), r is the interest rate, n is the number of times compounded per year, and t is the time in years.
The known variables are:
- P = $4700
- r = 5.5%
- n = 1
- t = 3
Plug those 4 into the equation now and solve for A:
[tex]\rightarrow A=4700(1+0.055)^3\\\rightarrow A=4700(1.055)^3\\\rightarrow A=4700\times1.1742\\\rightarrow A=5518.9345[/tex]
