## TheDumDum Group Title $25,000 is invested at 4% compounded annually for 7 years, find the current balance in the bank account based on the given conditions one year ago one year ago • This Question is Closed 1. TheDumDum Group Title its for liberal arts 2. zepdrix Group Title The formula for finding compound interest is as follows,$\large A=P\left(1+\frac{r}{n}\right)^{nt}$ They gave us this information, ~our principle amount $$P$$ is$25,000. ~the rate of compounding $$r$$ is 4%, or as a decimal, 0.04. ~the time period $$t$$ is 7 years. ~the number of compoundings per period $$n$$ is 1 (since it's compounded anually). So we just plug these values in and solve for $$A$$! :)

3. zepdrix Group Title

$\large A=25000\left(1+\frac{0.04}{1}\right)^{1\times7}$

4. zepdrix Group Title

You'll want to use your calculator to simplify that down. Lemme know if it's too complicated :D