Question

$1000 invested with compound interest at a rate of 15% per year for 9 years.

Answer 1

Answer:

The Final Investment Value is $\ 3,517.88$  

Step-by-step explanation:

we know that

The compound interest formula is equal to  

$A=P(1+\frac{r}{n})^{nt}$  

where  

A is the Final Investment Value  

P is the Principal amount of money to be invested  

r is the rate of interest  in decimal

t is Number of Time Periods  

n is the number of times interest is compounded per year

in this problem we have  

$t=9\ years\\ P=\ 1,000\\ r=0.15\\n=1$  

substitute in the formula above  

$A=1,000(1+\frac{0.15}{1})^{1*9}$  

$A=\ 3,517.88$