Answer:
it would be valued at $11,597
Step-by-step explanation:
In this question, we are asked to calculate the value of an investment, 6 years on from now, given the annual interest , initial investment and time
Mathematically;
A = P(1+r/n)^nt
From the question, A = ?
P is initial investment = $8,800
r is rate = 4.6% = 4.6/100 = 0.046
n is number of times compounded = 365 since it is daily and we have 365 days in a year
t = time= 6 years
Now, we input these values into the equation;
A = 8,800 (1+ 0.046/365)^(365*6)
A = 8,800 (1+ 0.00012602739726)^2190
A = 8,800(1.00012602739726)^2190
A = $11,596.86
