Answer:
A = $3136.86
Step-by-step explanation:
Given the following data;
Principal = $2700
Interest rate = 3% = 3/100 = 0.03
Number of times = 52
Time = 5 years
To find the future value, we would use the compound interest formula;
[tex] A = P(1 + \frac{r}{n})^{nt}[/tex]
Where;
A is the future value.
P is the principal or starting amount.
r is annual interest rate.
n is the number of times the interest is compounded in a year.
t is the number of years for the compound interest.
Substituting into the equation, we have;
[tex] A = 2700(1 + \frac{0.03}{52})^{52*5}[/tex]
[tex] A = 2700(1 + 0.0005769)^{260}[/tex]
[tex] A = 2700(1.0005769)^{260}[/tex]
[tex] A = 2700(1.1618)[/tex]
A = $3136.86
