What is the future value of $20 invested for 80 years at an annually compounded interest rate of 7% p.a.?
A)$11,200.00
B)$448.68
C)$4,495.66
D)$4,484.68

Question

Quizplus · Accepted Answer

The future value of an investment can be calculated using the formula:FV = PV * (1 + r)^nwhere:PV is the present value of the investmentr is the annual interest raten is the number of yearsIn this case, we have:PV = $20r = 7% = 0.07n = 80Substituting these values into the formula, we get:FV = $20 * (1 + 0.07)^80FV = $20 * 224.234FV = $4,484.68Therefore, the future value of $20 invested for 80 years at an annually compounded interest rate of 7% p.a. is $4,484.68.

What Is the Future Value of $20 Invested for 80