You deposit $4000 in an account earning 4% interest compounded monthly. How much will you have in the account in 5 years?

$4,866.61

Step-by-step explanation:

Using the formular, A = P(1 + R/100)^n

Where, A = Amount; P = Principal; n = Time(year) and R = Rate

Hence, A = $4000(1 + 4/100)^5 = $4,866.61

Amount = Principal + Compound Interest

∴ Compund Interest = Amount - Principal = $(4,866.61 - 4,000) = $866.61

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step-by-step explanation: