Solution - Compound interest (basic)

38437.92

38437.92

Step-by-step explanation

Use $A = P {(1 + r / n)}^{(n t)}$ with $P = 23, 799$ , $r = 3 %$ , $n = 12$ , $t = 16$ .

Compute period rate and exponent: $\frac{r}{n} = 0.0025$ , $n t = 192$ , so the growth factor is $1.6151066605$ .

Multiply principal by growth factor: $23, 799$ × $1.6151066605$ = $38437.92$ .

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