Problema Solution
. If you inherited $ 45,000 today and invested all of it in a security that paid a 7 percent rate of return, how much would you have in 25 years?
Answer provided by our tutors
P = $45,000
r = 0.07 or 7%
t = 25 years
A = the future value
A = P(1 + r)^t
A = 45000(1 + 0.07)^25
A = $244,234.47