Carl opens a 5-year CD for $1,000 that pays 3% interest compounded annually. What is the value of the CD at the end of five years?

a. $1,159
b. $1,126
c. $1,300
d. $1,150

a. $1,159

The value of the CD at the end of the 5 years is $1,159.00

Economics

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