Solution - Compound interest (basic)

45315.02

45315.02

Step-by-step explanation

Use $A = P {(1 + r / n)}^{(n t)}$ with $P = 5, 562$ , $r = 12 %$ , $n = 2$ , $t = 18$ .

Compute period rate and exponent: $\frac{r}{n} = 0.06$ , $n t = 36$ , so the growth factor is $8.1472519999$ .

Multiply principal by growth factor: $5, 562$ × $8.1472519999$ = $45315.02$ .

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