Solution - Compound interest (basic)

20760.60

20760.60

Step-by-step explanation

Use $A = P {(1 + r / n)}^{(n t)}$ with $P = 16, 360$ , $r = 6 %$ , $n = 4$ , $t = 4$ .

Compute period rate and exponent: $\frac{r}{n} = 0.015$ , $n t = 16$ , so the growth factor is $1.2689855477$ .

Multiply principal by growth factor: $16, 360$ × $1.2689855477$ = $20760.60$ .

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