Answer with explanation:
The formula to calculate the compound amount is given by :-
[tex]A=P(1+r)^t[/tex], where P is the Principal amount invested , r is the rate of interest ( in decimal ), and t is the time period ( in years).
As per given , we have
P= $500 , r= 6%=0.06
Then the formula to find the compound amount after t years :
[tex]A=500(1.06)^t[/tex] (Put values of P and r in the formula)
For t=1
[tex]A=500(1.06)^1=530[/tex]
Jack will have $530 after 1 year.
For t=2
[tex]A=500(1.06)^2=561.8[/tex]
Jack will have $561.8 after 2 years.
For t=5
[tex]A=500(1.06)^{5}=669.1127888\approx669.11[/tex]
Jack will have $669.11 after 5 years.
For t=10
[tex]A=500(1.06)^{10}=895.423848271\approx895.42[/tex]
Jack will have $895.42 after 10 years.
