Answer:
$6400.42
Explanation:
You want the value after 10 years of $5000.00 invested at 2.5%, compounded annually.
Formula
The formula for an amount earning compound interest is ...
A = P(1 +r/n)^(nt)
where P is the amount invested at annual rate r compounded n times per year for t years.
Application
Here, we have P=$5000, r=0.025, n=1, t=10, and the amount is ...
A = $5000(1 +0.025)^(1·10) ≈ $6400.42
The final value after 10 years is $6400.42.