Question

Suppose you have $5,000 to invest for 10 years. How much money would you have in 10 years if you earned 4\% simple interest? How much money would you have in 10 years if you earned 4\% compound interest?

          Suppose you have $5,000 to invest for 10 years. How much money would you have in 10 years if you earned 4\% simple interest? How much money would you have in 10 years if you earned 4\% compound interest?
        
Suppose you have 5,000 to invest for 10 years. How much money would you have in 10 years if you earned 4% simple interest? How much money would you have in 10 years if you earned 4% compound interest?

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Precalculus with Limits
Precalculus with Limits
Ron Larson 2nd Edition
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Suppose you have $5,000 to invest for 10 years. How much money would you have in 10 years if you earned 4% simple interest? How much money would you have in 10 years if you earned 4% compound interest?
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Transcript

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00:01 You want to have $20 ,000 10 years from now.
00:05 How much would you invest now at an interest rate of 15 % ooh that's a good interest rate, compounded monthly? so our formula that we're going to use is going to be a equals p 1 plus r over n to the nt.
00:21 So we're looking at $20 ,000.
00:24 If we want, we don't know what p is, 1 plus my interest rate which is 15%, monthly means my value of n is 12 and that's going to be 12 times 10...
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