John invests $2,975 at 4% interest compounded annually. What will be the balance in the account after 2.5 years?

• $3,272.50****
• $3,281.48
• $5,493.86
• $7,735.00

I Change It To D.

Am I Right?

2975*1.04^2.5 = 3281.48

But, technically, since the interest is not compounded till the end of the year, you might get

2975*1.04^2 = 3217.76

Since that is not listed, I'd go with B

So, how did you get D? That's over double the initial amount. Not likely!

Mine says 3.5 years

@Fake Name some people have different test

Can some one please give me all of the answers

SamMEEe i need them please

thanks darling

To calculate the balance in the account after 2.5 years with 4% interest compounded annually, you can use the formula for compound interest:

A = P(1 + r/n)^(nt)

Where:
A = the final amount
P = the principal amount ($2,975 in this case)
r = the annual interest rate (4% in this case)
n = the number of times interest is compounded per year (annually in this case)
t = the number of years (2.5 years in this case)

Using the formula and plugging in the values, we get:

A = 2975(1 + 0.04/1)^(1*2.5)

A = 2975(1 + 0.04)^2.5

A = 2975(1.04)^2.5

A ≈ 2975 * 1.1038126

A ≈ 3281.482314

Rounding to the nearest cent, the balance in the account after 2.5 years will be approximately $3,281.48.

Therefore, the correct answer from the given options is $3,281.48.