The given expression is a compound interest formula:

\[
y = 2500\left(1 + \frac{0.04}{1}\right)^{60}
\]

This expression represents the future value of an investment of 2500 at an interest rate of 4% per year, compounded annually for 60 periods (years).

Now, solving the expression step by step:

1. Simplify inside the parentheses:
\[
1 + \frac{0.04}{1} = 1 + 0.04 = 1.04
\]

2. Raise \(1.04\) to the power of 60:
\[
1.04^{60} = 10.519627
\]

3. Multiply by 2500:
\[
y = 2500 \times 10.519627 \approx 26,299.07
\]

So, the value of \(y\) is approximately **26,299.07**.

Would you like further explanation, or have any questions?

Here are 5 related questions:
1. What is the formula for compound interest?
2. How would the final amount change if interest is compounded monthly instead of yearly?
3. How does the value of the investment change if the interest rate increases?
4. What happens if the investment period is shorter, say 30 years?
5. How does the initial principal amount impact the future value?

**Tip**: In compound interest problems, small changes in the rate or number of periods can have a significant effect due to the exponential nature of compounding.

Learn how to calculate the future value of an investment using the compound interest formula with y = 2500(1 + 0.04/1)^60. This problem demonstrates exponential growth over 60 periods with a 4% annual interest rate, suitable for Grades 10-12.

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