Answer:
A. $4955.30
Step-by-step explanation:
Look at the equation
A(t)= P(1+r)^t
In this equation,
A(t) is your amount after a period of time,
P is the initial balance stated in the question (4000)
r is the rate (must be converted to a decimal) as stated in the question (0.055)
t represents the amount of time that has passed (4 years)
Whenever you plug this into the equation, you get
A(t) = 4000(1.055)^4 and this can be plugged into a calculator to get your answer which will be
4955.29 (round up to .3) and your final answer is A. 4995.30
In order to convert from percent to decimal you just need to move the decimal to the left two places
5.5 becomes 0.055 after the decimal is shifted
