Formula for compound interest:
[tex]\begin{gathered} A=P(1+\frac{r}{n})^{nt} \\ \\ A\colon\text{ amount} \\ P\colon\text{ principal} \\ n\colon\text{ number of times interest is compound} \\ r\colon\text{interest rate (decimal)} \\ t\colon\text{time} \end{gathered}[/tex]For the given sitiation:
P: $2,000
r: 5% = 0.05
n:1 (anually)
t: 2 years
[tex]\begin{gathered} A=2000(1+0.05)^2 \\ \\ A=2000(1.05)^2 \\ \\ A=2000\times1.1025 \\ \\ A=2205 \end{gathered}[/tex]Then, There is $2,205 in the account after 2 years