Answer:
Step-by-step explanation:
The formula for this is
[tex]A(t) = P(1+\frac{r}{n})^{nt}[/tex] where A(t) is the amount at the end of this whole mess, P is the initial investment, r is the interest rate as a decimal, n is the number of times the compounding is done per year, and t is the number of years. Filling in accordingly:
[tex]A(t)=5000(1+\frac{.07}{4})^{(4)(10)}[/tex] which simplifies a bit to
[tex]A(t)=5000(1+.0175)^{40[/tex] and a bit more to
[tex]A(t)=5000(1.0175)^{40}[/tex] Take care of the exponent first to get
A(t) = 5000(2.001597343) and multiply through to get
A(t) = 10,007.99
