Nicole deposited $4400 in a savings account earning 6% compounded monthly. If she makes no other deposits or withdrawals, how much will she have in her account in two years? Group of answer choices $4959.50 $4928.00 $9342.76 $9328.00

Answer: $4959.50

Step-by-step explanation:

Just took the quiz got 100%

Answer: $4959.50

Step-by-step explanation:

We would apply the formula for determining compound interest which is expressed as

A = P (1+r/n) ^nt

Where

A = total amount in the account at the end of t years

r represents the interest rate.

n represents the periodic interval at which it was compounded.

P represents the principal or initial amount deposited

From the information given,

P = 4400

r = 6% = 6/100 = 0.06

n = 12 because it was compounded 12 times in a year.

t = 2 years

Therefore,.

A = 4400 (1+0.06/12) ^2 * 12

A = 4400 (1+0.005) ^24

A = 4400 (1.005) ^24

A = $4959.5