Use the compound interest formula to compute the future value of the investment.
-$19,000 at 1% compounded annually for 13 years

Question

Quizplus · Accepted Answer

The future value of the investment can be calculated using the compound interest 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, the present value of the investment is $19,000, the annual interest rate is 1%, and the number of years is 13. Plugging these values into the formula, we get:FV = 19000 * (1 + 0.01)^13= 19000 * 1.13439= $21,623.77Therefore, the future value of the investment is $21,623.77.

Use the Compound Interest Formula to Compute the Future Value