Answer:
Therefore, the amount that results from the given investment is approximately $579.64.
Explanation:
We can use the formula for compound interest to find the amount that results from the given investment:
A = P(1 + r/n)^(nt)
where:
A = the amount
P = the principal (initial investment)
r = the annual interest rate (as a decimal)
n = the number of times the interest is compounded per year
t = the time (in years)
In this case, P = $500, r = 0.04, n = 4 (since the interest is compounded quarterly), and t = 3.5 years.
Plugging in the values, we get:
A = 500(1 + 0.04/4)^(4*3.5)
A = 500(1.01)^14
A = 500(1.159274...)
A ≈ $579.64
Therefore, the amount that results from the given investment is approximately $579.64.