What has cidney savings account with National Bank. She earns 4 interest compounded yearly on 1250.00. What amount will she receive in interest in three years?

To calculate the interest earned on a savings account with compound interest, you can use the formula ( A = P(1 + r)^t ), where ( A ) is the amount after time ( t ), ( P ) is the principal amount, ( r ) is the interest rate, and ( t ) is the time in years. For Cidney's account, ( P = 1250 ), ( r = 0.04 ), and ( t = 3 ).

Calculating this gives:

( A = 1250(1 + 0.04)^3 )
( A = 1250(1.124864) \approx 1406.08 ).

The interest earned is approximately ( 1406.08 - 1250 = 156.08 ). So, Cidney will receive about $156.08 in interest after three years.