Answer:
c. $1657.24
Explanation:
Since, the amount formula,
[tex]A=P(1+\frac{r}{n})^{nt}[/tex]
Where,
P = principal,
r = annual rate,
n = number of compounding periods,
t = number of years
Here, P=$1500, r = 2.5% = 0.025, t = 4 years, n = 4 ( number of quarters in a year )
Hence, the amount after 4 years,
[tex]A=1500(1+\frac{0.025}{4})^{16}[/tex]
[tex]\approx 1657.24[/tex] ( Using calculator )
i.e. Option 'c' is correct
