For each deposit, find the future value (that is, the final amount on deposit) when compounding occurs (a) annually, (b) semiannually, and (c) quarterly.
\begin{tabular}{ccc}
Principal & Rate & Time \\
$\$ 3000$ & $3 \%$ & 4 years
\end{tabular}
(a) If it is compounded annually, what is the amount after 4 years?
\[
A=5 \square
\]
(Do not round until the final answer. Then round to the nearest cent as needed.)
Round the final answer to the nearest cent to get the final amount after 4 years when the deposit is compounded annually: \(\boxed{\$3376.53}\).
Step 1 :Define the variables: the principal amount \(P = \$3000\), the annual interest rate in decimal \(r = 0.03\), the number of times interest is compounded per year \(n = 1\), and the time in years \(t = 4\).
Step 2 :Calculate the future value using the formula \(A = P \times (1 + \frac{r}{n})^{n \times t}\).
Step 3 :Substitute the values into the formula to get \(A = 3000 \times (1 + \frac{0.03}{1})^{1 \times 4}\).
Step 4 :Solve the equation to find the future value \(A = 3376.5264300000003\).
Step 5 :Round the final answer to the nearest cent to get the final amount after 4 years when the deposit is compounded annually: \(\boxed{\$3376.53}\).