To calculate the interest earned in 4 years, we use the compound interest formula: A = P(1 + r/n)^(nt). Here, P is the principal amount ($3,572), r is the annual interest rate (1% or 0.01), n is the number of times interest is compounded per year (1 for annually), and t is the time in years (4). Plugging in these values, we calculate the total amount A after 4 years. The calculation shows that A = $3,717.63. To find the interest earned, we subtract the initial investment from this amount: Interest = $3,717.63 - $3,572 = $145.63. Thus, Nick will earn $145.63 in interest over 4 years.