Answer: A = P(1.005)²⁰
Explanation:
The formula for interest compounded over a period of time is:

- A is accrued amount
- P₀ is the initial amount invested
- r is the interest rate (convert to a decimal)
- n is the number of times compounded in a year
- t is the number of years
It is given that r = 2% (0.02), n = quarterly (4), and t = 5
