Answer: The compound interest is $409.49, and the total amount after one year is $3,665.49.
Explanation:
We can use the formula for compound interest to solve this problem:
A = P(1 + r/n)^(nt)
where:
P = the principal (in this case, $3,256)
r = the annual interest rate (100%, or 1 as a decimal)
n = the number of times the interest is compounded per year (4, since it's compounded quarterly)
t = the number of years (1)
Plugging in the values we know, we get:
A = $3,256(1 + 1/4)^(4*1)
A = $3,256(1.25)^4
A = $3,665.49 (rounded to the nearest cent)
To find the compound interest, we can subtract the principal from the total amount:
Compound interest = $3,665.49 - $3,256 = $409.49
Therefore, the compound interest is $409.49, and the total amount after one year is $3,665.49.