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aev [14]
3 years ago
15

Points If a person invests $250 at 9% annual interest, find the approximate value of the investment at the end of 15 years.

Mathematics
1 answer:
AfilCa [17]3 years ago
7 0

Principal Amount = P = $250

Interest Rate = r = 9% = 0.09

Time in years = t = 15 years

Value of investment = A = ?

The formula to calculate the value on investment as a result of annual interest is:

A=P(1+r)^{t}

Using the values in the above formula, we get:

A=250(1+0.09)^{15}\\ \\  A=\$ 910.62

Thus, at the end of 15 years the value of the investment will be $ 910.62.

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