Solution - Compound interest (basic)

28697.99

28697.99

Step-by-step explanation

Use $A = P {(1 + r / n)}^{(n t)}$ with $P = 23, 037$ , $r = 1 %$ , $n = 4$ , $t = 22$ .

Compute period rate and exponent: $\frac{r}{n} = 0.0025$ , $n t = 88$ , so the growth factor is $1.2457346765$ .

Multiply principal by growth factor: $23, 037$ × $1.2457346765$ = $28697.99$ .

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