Question

You plan to invest $350 in a growth fund that has a rate of 1.5% compounded quarterly. How much money will this investment be worth after 50 years?

Answer 1

Answer:

Hey man I know the answer to this question it would be $449.12

Step-by-step explanation: 350*1.005^50= 449.12

Answer 2

Answer:

Principal = $ 350

Quarterly Rate of Interest = 1.5 %

Time =50 years

n=50 × 4=200, as rate of interest is compounded Quarterly.

Amount

    $=P(1+\frac{R}{100})^n\\\\=350\times (1+\frac{1.5}{100})^{200}\\\\=350\times (\frac{101.5}{100})^{200}\\\\=350\times ({1.015})^{200}\\\\=350\times 19.6430\\\\=6875.0600$

=$ 6875 (Approx)