Answer:
a) 14,595.29
Explanation:
We'll use the below compound interest formula to solve the given problem;
[tex]A=P(1+\frac{r}{n})^{nt}[/tex]
where A = future amount
P = initial amount = $4500
r = interest rate in decimal = 4/100 = 0.04
n = number of compounding periods = 1
t = time period = 30 years
Let's go ahead and substitute the above values into our formula and solve for A;
[tex]\begin{gathered} A=4500(1+\frac{0.04}{1})^{1\times30} \\ A=4500(3.24339751003) \\ A=14,595.29 \end{gathered}[/tex]
We can see from the above that the investment would be worth $14,595.29 after 30 years.
