Answer:14,600
Step-by-step explanation:
Given
Money borrowed [tex]P=12,000[/tex]
Rate of interest [tex]R=4\ \%[/tex]
Time period [tex]t=5\ years[/tex]
Suppose Money is compounded annually
So total payback at the end of 5 years
[tex]A=P(1+R)^{t}[/tex]
[tex]A=12,0000(1+0.04)^{5}[/tex]
[tex]A=12000\times 1.2166[/tex]
[tex]A=14,599.8\approx 14,600[/tex]
