Solution - Compound interest (basic)

9978.67

9978.67

Step-by-step explanation

Use $A = P {(1 + r / n)}^{(n t)}$ with $P = 6, 700$ , $r = 10 %$ , $n = 12$ , $t = 4$ .

Compute period rate and exponent: $\frac{r}{n} = 0.0083333333$ , $n t = 48$ , so the growth factor is $1.4893540986$ .

Multiply principal by growth factor: $6, 700$ × $1.4893540986$ = $9978.67$ .

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