Use the following data to solve the following questions:
-Branson Company deposited $5,800 in an account paying 2.5% annual interest. How much compound interest would Branson earn in 3 years?
A)$6,235
B) $435
C) $145
D) $446

Question

Quizplus · Accepted Answer

The compound interest can be calculated using the formula: A = P(1 + r/n)^(nt) - P, where P is the principal amount ($5,800), r is the annual interest rate (0.025), n is the number of times interest is compounded per year (1 for annually), and t is the number of years (3). The calculation gives $446 as the compound interest.

Use the Following Data to Solve the Following Questions