The balance after 10 years with an interest rate of 4% and the initial amount of $1000 will be 1480.24
What is compound interest?
Compound interest is the interest on a loan or deposit calculated based on the initial principal and the accumulated interest from the previous period.
We know that the compound interest is given as
A = P(1 + r)ⁿ
Where A is the amount, P is the initial amount, r is the rate of interest, and n is the number of years.
You deposit $1000 in an account paying 4% annual interest, compounded continuously.
Then the balance after 10 years will be
A = 1000(1 + 0.04)¹⁰
A = $ 1480.24
More about the compound interest link is given below.
https://brainly.com/question/25857212
#SPJ2
