Solution - Compound interest (basic)

714633.69

714633.69

Step-by-step explanation

Use $A = P {(1 + r / n)}^{(n t)}$ with $P = 18, 508$ , $r = 14 %$ , $n = 2$ , $t = 27$ .

Compute period rate and exponent: $\frac{r}{n} = 0.07$ , $n t = 54$ , so the growth factor is $38.6121509191$ .

Multiply principal by growth factor: $18, 508$ × $38.6121509191$ = $714633.69$ .

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