Solution - Compound interest (basic)

835.07

835.07

Step-by-step explanation

Use $A = P {(1 + r / n)}^{(n t)}$ with $P = 592$ , $r = 7 %$ , $n = 2$ , $t = 5$ .

Compute period rate and exponent: $\frac{r}{n} = 0.035$ , $n t = 10$ , so the growth factor is $1.4105987606$ .

Multiply principal by growth factor: $592$ × $1.4105987606$ = $835.07$ .

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