Answer:
The Amount which should be expected in the account after 5 years is   $ 16,990.5
Step-by-step explanation:
Given as :
The investment amount in saving account = $ 15,000
The annual rate of interest = 2.5 % compounded quarterly
The time period = 5 years
Let the amount in account after 5 years = $ A
From compounded method
Amount = Principal × [tex]( 1 +\dfrac{\textrm Rate}{100\times 4})^{4\times \textrm Time}[/tex]
or, Amount = $ 15,000 × [tex]( 1 +\dfrac{\textrm 2.5}{100\times 4})^{4\times \textrm 5}[/tex]
or, A =  $ 15,000 × [tex](1.00625)^{20}[/tex]
Or, A =  $ 15,000 × 1.1327
∴ A = $ 16,990.5
So, Amount = A = $ 16,990.5
Hence The Amount which should be expected in the account after 5 years is $ 16,990.5 Â Answer
