Remember that
The compound interest formula is equal to
[tex]A=P(1+\frac{r}{n})^{nt}[/tex]
where
A is the Final Investment Value
P is the Principal amount of money to be invested
r is the rate of interest in decimal
t is Number of Time Periods
n is the number of times interest is compounded per year
in this problem we have
P=$15,000
t=5 years
r=4%=0.04
n=2
substitute the given values
[tex]A=15,000(1+\frac{0.04}{2})^{2\cdot5}[/tex]
A=$18,284.92
therefore
The interest is equal to
I=A-P
I=18,284.92-15,000
I=$3,284.92
