To calculate the future value of a fixed deposit account with compounded interest, we can use the formula:

$A = P (1 + r)^n$

where:

• $A$ is the amount of money accumulated after n years, including interest.
• $P$ is the principal amount (the initial sum of money).
• $r$ is the annual interest rate (decimal).
• $n$ is the number of years the money is invested or borrowed.

Given:

• $P = 800,000$
• $r = 0.04$ (4%)
• $n = 5$

Now, substituting the values into the formula:

$A = 800,000 \times (1 + 0.04)^5$ $A = 800,000 \times (1.04)^5$ $A = 800,000 \times 1.216652902$ $A \approx 973,322.32$

Therefore, the deposit would have grown to approximately 973,322.32 after 5 years.

To find out how much the deposit has grown, we subtract the initial deposit from the future value:

$\text{Growth} = A - P = 973,322.32 - 800,000 = 173,322.32$

Thus, the deposit would have grown by approximately 173,322.32 over 5 years.

Would you like more details on this calculation, or do you have any questions? Here are some related questions you might consider:

1. What would the total amount be after 10 years at the same interest rate?
2. How does changing the interest rate to 5% affect the total amount after 5 years?
3. What is the difference between simple interest and compound interest?
4. How would the growth change if the interest were compounded semi-annually instead of annually?
5. What are some common types of fixed deposit accounts available?

Tip: Always verify the interest compounding frequency as it significantly impacts the growth of your investment.