Final answer:
To calculate the total future amount with compound interest, we can use the formula: A = P(1 + r/n)^(nt), where A is the future amount, P is the principal amount, r is the interest rate, n is the number of times interest is compounded per year, and t is the number of years.
Step-by-step explanation:
To calculate the total future amount with compound interest, we can use the formula: A = P(1 + r/n)^(nt), where A is the future amount, P is the principal amount, r is the interest rate, n is the number of times interest is compounded per year, and t is the number of years. In this case, the principal amount is $500, the interest rate is 2.73%, and interest is compounded monthly (n = 12). Plugging in these values, we get: A = 500(1 + 0.0273/12)^(12*5) = $545.13. Therefore, the total future amount for $500 invested at 2.73% for five years compounded monthly is $545.13.