Answer:
A = $3,101.09
A = P + I where
P (principal) = $2,600.00
I (interest) = $501.09
Explanation:
First, convert R as a percent to r as a decimal
r = R/100
r = 3.53/100
r = 0.0353 rate per year,
Then solve the equation for A
A = P(1 + r/n)nt
A = 2,600.00(1 + 0.0353/12)(12)(5)
A = 2,600.00(1 + 0.002941667)(60)
A = $3,101.09
Summary:
The total amount accrued, principal plus interest, with compound interest on a principal of $2,600.00 at a rate of 3.53% per year compounded 12 times per year over 5 years is $3,101.09.