Answered

Explore Westonci.ca, the leading Q&A site where experts provide accurate and helpful answers to all your questions. Experience the convenience of getting accurate answers to your questions from a dedicated community of professionals. Get immediate and reliable solutions to your questions from a community of experienced professionals on our platform.

Investments increase exponentially by
about 26% every 3 years. If you made a
$2,000 investment, how much money
would you have after 45 years?
Future Amount = $[?]
Hint: Future Amount = [(1 + r)t
-pt
↑
initial
amount
growth
rate
←time
periods
Round to the nearest dollar.

Sagot :

JAYMuturi

Answer:

9060$ is the final amount because 7060 is the interest

The amount of money after 45 years will be $64,060.

What is compound interest?

Compound interest is the interest on a loan or deposit calculated based on the initial principal and the accumulated interest from the previous period.

We know that the compound interest is given as

A = P(1 + r)ⁿ

Where A is the amount, P is the initial amount, r is the rate of interest, and n is the number of years.

Investments increase exponentially by about 26% every 3 years.

If you made a $2,000 investment.

Then the equation will be

[tex]\rm A = 2000 \times \left (1.26 \right )^{\frac{t}{3}}[/tex]

Where t is the number of years.

Then the amount of money after 45 years will be

[tex]\rm A = 2000 \times \left (1.26 \right )^{\frac{45}{3}}[/tex]

Simplify the equation, then we have

A = 2000 × (1.26)¹⁵

A = 2000 × 32.03

A = $64,060

More about the compound interest link is given below.

https://brainly.com/question/25857212

#SPJ1

We appreciate your time on our site. Don't hesitate to return whenever you have more questions or need further clarification. We hope our answers were useful. Return anytime for more information and answers to any other questions you have. Westonci.ca is your go-to source for reliable answers. Return soon for more expert insights.