If an investment account starts with \( \$ 1,000 \), and grows with \( 5.2 \% \) interest, compounded every year, how much is the account worth after 10 years? Round your answer to the nearest dollar. Do NOT round until you calculate the final answer.

Starting with an initial investment of \( P = 1000 \) and an annual interest rate of \( r = 0.052 \), we can use the compound interest formula: \[ A = P(1 + r)^t \] Where \( t = 10 \) years. Plugging in the values gives: \[ A = 1000(1 + 0.052)^{10} = 1000(1.052)^{10} \] Calculating \( (1.052)^{10} \) results in approximately \( 1.62889 \). Therefore, \[ A \approx 1000 \times 1.62889 \approx 1628.89 \] Rounding to the nearest dollar, the account is worth approximately \( \$ 1,629 \) after 10 years. For a little historical flair, did you know that compound interest, often described as the "eighth wonder of the world," was popularized by Albert Einstein? He supposedly praised compound interest as a powerful tool for wealth building, illustrating its potential to generate exponential growth over time. If you're considering investing, it's essential to avoid common mistakes, like not regularly reviewing your investment strategy or falling prey to emotional decision-making during market volatility. Setting up automated contributions can help keep your growth on track and minimize these pitfalls.