Solution - Compound interest (basic)

55305.18

55305.18

Step-by-step explanation

Use $A = P {(1 + r / n)}^{(n t)}$ with $P = 18, 832$ , $r = 6 %$ , $n = 12$ , $t = 18$ .

Compute period rate and exponent: $\frac{r}{n} = 0.005$ , $n t = 216$ , so the growth factor is $2.936765972$ .

Multiply principal by growth factor: $18, 832$ × $2.936765972$ = $55305.18$ .

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