An initial investment of $1000 is appreciated for 4 years in an account that earns 4% interest, compounded annually. Find the amount of money in the account at the end of the period.

Answer: $116.99

Step-by-step explanation:

By using compound interest formula which said:

A = P (1 + r/n) ^ (n*t)

P=Principal = 1000

r=rate=4/100

n=1

t = 4

Apply the above formula

A = P (1 + r/n) ^ (n*t)

A = 1000 (1 + 0.04/1) ^ (1 * 4)

A = 100 (1.04) ^4

A = 100 * 1.17

A = 116.99