#### Explanation:

okay so we are interested in years and we know there are 4 quarters in a year so quarterly compounded interest is
$\frac{.04}{4} = .01$

now for the first quarter it would be
${y}_{1} = 12000 \cdot \left(1.01\right)$

quarter two is whatever was made in quarter 1 plus quarter 2
${y}_{2} = {y}_{1} \cdot \left(1.01\right)$ or $12000 \cdot \left(1.01\right) \cdot \left(1.01\right)$

this relates to the following for years
$f \left(n\right) = 12000 \cdot {\left(1.01\right)}^{4 \cdot n}$
$f \left(8\right) = 12000 \cdot {\left(1.01\right)}^{32} = 16499.2881424$

Jul 19, 2016