QUESTION 5 What is the future value of $1000 invested that accumulates 4% interest for 5 years? (compounded annually)
Added by Andrew A.
Close
Step 1
Step 1: The formula for compound interest is: $$A = P(1 + \frac{r}{n})^{nt}$$ where: * A is the future value of the investment/loan, including interest * P is the principal investment amount (the initial deposit or loan amount) * r is the annual interest rate (as a Show more…
Show all steps
Your feedback will help us improve your experience
Sri K and 69 other Algebra educators are ready to help you.
Ask a new question
Labs
Want to see this concept in action?
Explore this concept interactively to see how it behaves as you change inputs.
Key Concepts
Recommended Videos
Sri K.
What are the future value and the interest earned if $3000 is invested for 5 years at 8% compounded quarterly? (Round your answers to the nearest cent.) Future value: $_________________ interest earned: $________________
Andrew D.
What are the future value and the interest earned if $3200 is invested for 5 years at 8% compounded quarterly? (Round your answers to the nearest cent.) future value $ interest earned $
Samuel M.
Recommended Textbooks
Elementary and Intermediate Algebra
Algebra and Trigonometry
Transcript
18,000,000+
Students on Numerade
Trusted by students at 8,000+ universities
Watch the video solution with this free unlock.
EMAIL
PASSWORD