Answer:
Amount after 5 year will be $1074.5
Explanation:
We have given principal amount P = $600
Time t = 5 year
Rate of interest r = 12%
It is given that amount is compounded semiannually
So time period = 5×2 = 10 period
And rate of interest semiannually will be %
We have to find future value after 5 year
Future value is given by
So
So amount after 5 year will be $1074.5