Answer:
$1,164.80
Explanation:
Lets use the compound interest formula provided to solve this:

P = initial balance
r = interest rate (decimal)
n = number of times compounded annually
t = time
First, we need to change 6.5% into a decimal:
6.5% ->
-> 0.065
Since the interest is compounded quarterly, we will use 4 for n. Lets plug in the values now:


The balance after 4 years will be $1,164.80