compound
\(A=P(1+ \frac{r}{n})^{rt}\)
A=future amount
P=present amount
r=rate in decimal
n=number of times per year compounded
t=time in years
A=?
P=500
r=0.03
n=1
t=4
\(A=500(1+ \frac{0.03}{1})^{(1)(4)}\)
\(A=500(1+0.03)^{4}\)
\(A=500(1.03)^{4}\)
A=562.754
pay back $562.75
