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Genrish500 [490]
3 years ago
7

1. You decide to invest $100,000 in a program that is guarabteed 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
Mathematics
1 answer:
ozzi3 years ago
3 0

Answer:

$113,140.821

Step-by-step explanation:

The <em>growth of an investment</em> 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 = 100,000 ( 1+0.025)^{5}

Future value=$113,140.821 as the amount after 5 years.

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