Solution - Compound interest (basic)

39827.06

39827.06

Step-by-step explanation

Use $A = P {(1 + r / n)}^{(n t)}$ with $P = 24, 664$ , $r = 4 %$ , $n = 12$ , $t = 12$ .

Compute period rate and exponent: $\frac{r}{n} = 0.0033333333$ , $n t = 144$ , so the growth factor is $1.6147849232$ .

Multiply principal by growth factor: $24, 664$ × $1.6147849232$ = $39827.06$ .

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