The answer is it is compounded monthly which is 365/yr.
This is done using trial and error but I got it right at the
first try.
Solution:
A = P (1+r/n) ^nt
Where:
A is the accrued amount or also known as the future value
P is the principal amount = $5,142
r is the nominal interest rate = 0.038
n is the number of compounding units = 365
t is time = 20
A = 5,142 (1 + 0.038/365) ^ 365(20)
= 5,142 (1.0001041095890410958904109589041)^7300
= 5.142 (2.13819163)
= $10994.58
