Problema Solution
If you interested $45,000 today and invested all of it I a security that paid 7 percent rate of return, how much would you have in 25 years
Answer provided by our tutors
Amount after t years = ((1 + Rate of Return)^t)*(Amount Invested)
Amount after 25 years = ((1 + 0.07)^25)*45000
Amount after 25 years = ((1 + 0.07)^25)*45000
Amount after 25 years = $244,234.47