Answer:
A(t)=500×1.00512t after t years.
Explanation:
Here, we have been given Principal amount invested P, r rate of interest per annum and n tells us how frequently (at regular intervals) interest is compounded in a year. This gives the amount at the end of t tears as A(t)=P(1+rn)nt.
Here P=$500, r=6%=0.06, n=12 (as it is compounded every month), hence
A(t)=500(1+0.0612)12t=500×1.00512t
