Answer: $1114.91
Step-by-step explanation:
The formula for compound interest is
[tex]A= P(1+\frac{r}{n})^{nt} \\[/tex]
Where
A = final amount
P = initial principal balance (1030 for this)
r = interest rate (0.04 for this)
n = number of times interest applied per time period (2 for this)
t = number of time periods elapsed (2 for this)
[tex]A= 1030(1+\frac{.04}{2})^{(2)(2)} \\\\A= 1030(1+0.02)^{4} \\A=1030(1.02)^4\\A=1114.905125[/tex]
This rounds up to $1114.91