If John invested $ 1 at 5 percent interest compounded annually, the total value of the investment, in dollars, at the end of 5 years would be
Choose the correct choice from the following options
A) (1.5)^4
B) (1.05)^5
C) (1.05)^4
D) 1 + (0.05)^4
E) 1 + 4(0.05)
In this prompt, the answer choices show that we don't actually have to calculate anything - we just need to 'format' the calculation correctly. We're told that the interest is COMPOUNDED ANNUALLY, so we need the Compound Interest Formula, with a Principal of $1, an R of 5% (which would 'translate' as .05) and a T of . We'd have....   Answer :(1.05)^5
<result>B</result>
If John invested $ 1 at 5 percent interest compounded annually, the total value of the investment, in dollars, at the end of 5 years would be