Answer: the amount at the end 7 years =$ 2831.98

Working notes for the above answer is as under

A = p ( 1+r/m)mt

Here,

A = Accumulated Amount P= principal = $2,000

r= annual rate = .05

m= periods per year = 4

t= years = 7Base amount: $2,000.00
Interest Rate: 5%
Effective Annual Rate: 5.09%
Calculation period: 7 years Now we put all this figure in to  the formula as followA = 2000 ( 1+0.05/4)7*4A =2000(1+0.0125)28A=2831.98