Answer: 1) $3885 2) $4312.35
Step-by-step explanation:
The formula to find the compound amount is given by :-
[tex]A=P(1+r)^t[/tex], where P is the principal amount , r is the rate of interest and t is the time period.
Given : Principal amount : [tex]P=\$3500[/tex] ,
Rate of interest : [tex]r=0.11[/tex]
When t=1 , then the amount in the account at the end of 1 year:-
[tex]A=3500(1+0.11)^1=\$3885[/tex]
When t=2 , then the amount in the account at the end of 1 year:-
[tex]A=3500(1+0.11)^2=\$4312.35[/tex]
