Answer:
$8515.13
Step-by-step explanation:
Given :
Interest rate, r =. 1.25% = 0.0125 compounded quarterly
Principal = 8000
Number of years, t = 5 years
Compound interest :
A = P(1 + r/n)^nt
A = final amount ; n = number of compounding times per period
n = 4 (quarterly)
A = 8000(1 + 0.0125/4)^4*5
A = 8000(1 + 0.003125)^20
A = 8000(1.003125)^20
A = 8000 * 1.0643907
A = 8515.1258
Final. Amount to. Be repaid = $8515.13
