Question 389775
I'm assuming you're compounding once a year.



Recall that the compound interest formula is


{{{A=P(1+r/n)^(n*t)}}}


where A is the return, P is the principal (ie amount invested), r is the interest rate (in decimal form), n is the compounding frequency (per year), and t is the time in years.



{{{A=P(1+r/n)^(n*t)}}} Start with the compound interest formula



{{{A=36000(1+0.05/1)^(1*36)}}} Plug in {{{P=36000}}}, {{{r=0.05}}} (the decimal equivalent of 5%), {{{n=1}}} and {{{t=36}}}.



{{{A=36000(1+0.05)^(1*36)}}} Evaluate {{{0.05/1}}}} to get {{{0.05}}}



{{{A=36000(1.05)^(1*36)}}} Add {{{1}}} to {{{0.05}}} to get {{{1.05}}}



{{{A=36000(1.05)^(36)}}} Multiply {{{1}}} and {{{36}}} to get {{{36}}}.



{{{A=36000(5.79181613597187)}}} Evaluate {{{(1.05)^(36)}}} to get {{{5.79181613597187}}}.



{{{A=208505.380894987}}} Multiply {{{36000}}} and {{{5.79181613597187}}} to get {{{208505.380894987}}}.



{{{A=208505.38}}} Round to the nearest hundredth (ie to the nearest penny).



So after 36 years, you would have about $208,505.38 in the account.