Step-by-step explanation:
Use the compound interest formula:
A = P( 1 + r/n)^nt
A is the amount at the end
P is the principal or original amount.
R is annual rate as a decimal (you have to convert)
N is the # of compounding periods in a year (quarterly means 4)
T is time in years
A = 500( 1 + 0.0475/4)^(4×20)
This would be $1285.64 when fully computed.
