Respuesta :
The account Patti owns will have $7096 in three years as per the compound interest.
Step- by- step explanation of compound interest
total Quantum A = [tex]s( frac{( 1 frac{ r}{ n}){ n * t}- 1}{ frac{ r}{ n}})(/ tex)[/tex]
this is the formula used when certain quantum is added at regular intervals and if the interest is COMPOUNDED)
then,
s = deposit added at the end of each quarter = $ 500
n = number of times interest is compounded per unit' t' = 4
t = total time = 3 times
r = interest rate (expressed in numeric or bit not in) = 12/100 = 0.12)
A = 500[tex]( frac{( 1 frac{0.12}{ 4}){ 4 * 3}- 1}{ frac{0.12}{ 4}})(/ tex)[/tex]
by working further,
A [tex]=500(\frac{1.03)^{12}-1 }{0.03} )\\ \\ 500(\frac{1.42576-1}{0.03} )\\\\500(\frac{1.42576}{0.03})\\ \\=7,096[/tex]
(1.03) 12 = 1.42576(roughly)
To know more about compound interest rates visit:
brainly.com/question/8557811
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