Solution - Compound interest (basic)

2303.69

2303.69

Step-by-step explanation

Use $A = P {(1 + r / n)}^{(n t)}$ with $P = 1, 562$ , $r = 3 %$ , $n = 4$ , $t = 13$ .

Compute period rate and exponent: $\frac{r}{n} = 0.0075$ , $n t = 52$ , so the growth factor is $1.4748330126$ .

Multiply principal by growth factor: $1, 562$ × $1.4748330126$ = $2303.69$ .

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Compound interest appears in savings, loans, and investments. Understanding it builds strong financial literacy.