document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=1151705>Question 1151705</A>: <I><SPAN STYLE=\"word-break: break-all;\"> this year, thomas decides to take 10% of what is left over from is annual earnings and decides to invest it in a savings account that is paying 3.5% interest per year. what is thomas' investment worth after 5 years </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #773516 by </B><A HREF=/tutors/aboutme.mpl?userid=Theo><B>Theo(13342)</B></A><img src=\"/images/stars/stars-13.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=Theo><IMG SRC=http://www.algebra.com/images/aboutme-small.gif BORDER=0 alt=\"About Me\" VALIGN=MIDDLE></A>&nbsp;<IMG SRC=http://www.algebra.com/cgi-bin/show-face.mpl?user=Theo><BR>You can <A HREF=\"/cgi-bin/embed-solution.mpl?show=1&solution=773516\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> let x equal what is left over from his annual earnings.<BR>\n" );
document.write( "he invests that at 3.5% interest per year for 5 years, compounded annually.<BR>\n" );
document.write( "the future value of the investment is equal to x * 1.035 ^ 5 = 1.187686306 * x.<BR>\n" );
document.write( "that means that the investment was worth 1.187686306 times as much after 5 years.\r<BR>\n" );
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document.write( "for example, assume thomas makes an annual income of 50,000 per year.<BR>\n" );
document.write( "assume that what is left over from that annual income is 10,000.<BR>\n" );
document.write( "he takes 10% of that and invests it at 3.5% per year for 5 years.<BR>\n" );
document.write( "10% of 10,000 is equal to 1,000 * 1.035^5 = 1187.686306.<BR>\n" );
document.write( "that's how much his investment is worth after 5 years if the investment was 1,000.\r<BR>\n" );
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