An investor deposits $10,000 in an account with 5% annual interest compounded annually. How much will the investment be worth after 4 years?

Tue, 05 May 2026 02:14:24 +0000

**How Long Will Your Savings Grow? A Closer Look at 5% Annual Interest Compounded Annually** Ever wondered how much that $10,000 investment will gain after four years at 5% annual interest, compounded annually? This question reflects growing interest in smart, steady wealth building—especially among US savers navigating economic uncertainty and inflation. Understanding compound interest helps investors make informed decisions backed by real math, not speculation. When an investor deposits $10,000 in a savings account earning 5% annually, compounded each year, the balance grows predictably over time. Unlike simple interest, compound interest earns returns on both the original amount and previously