Which of the following is closest to the future value of a $100 deposit earning 5 percent interest annually after 5 years?
A)$125
B)$128
C)$1,268
D)$105

Question

Quizplus · Accepted Answer

The future value of a deposit can be calculated using the formula FV = PV(1 + r)^n, where PV is the present value, r is the annual interest rate, and n is the number of years. Plugging in the values, we get FV = $100(1 + 0.05)^5 ≈ $128.

Which of the Following Is Closest to the Future Value