SOLUTION: You decide to invest $100,000 in a program that is guaranteed to grow by 2.5% for each of the next 5 years. At the end of the 5 years, how much is your investment worth?
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-> SOLUTION: You decide to invest $100,000 in a program that is guaranteed to grow by 2.5% for each of the next 5 years. At the end of the 5 years, how much is your investment worth?
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Question 1077226: You decide to invest $100,000 in a program that is guaranteed to grow by 2.5% for each of the next 5 years. At the end of the 5 years, how much is your investment worth? Answer by jorel1380(3719) (Show Source):
You can put this solution on YOUR website! The growth of an investment is given by P(1+r)^n where P is the principal, r is the interest rate, and n is the number of periods. So:
Future Value=100000*(1+0.025)^5
FV=$113140.821 as the amount after 5 years. ☺☺☺☺
