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Setler79 [48]
3 years ago
7

f the present value of an investment is $5,000, what will be its future value in three years if you apply a compound interest of

5 percent to it?
Mathematics
1 answer:
Ulleksa [173]3 years ago
3 0

Answer:

6381.4078125 or $6381.41

Step-by-step explanation:

Pn- future value of P0

P0- original amount invested

r- rate of interest

n- number of compounding periods (months, years, etc.)

Pn = P0(1+r)n

   = $5000(1+0.05)5

   = 6381.4078125 or $6381.41

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