If the interest rate is 15 percent, what is the future of value of $10,000 two years from now?

Question

Quizplus · Accepted Answer

The formula to calculate future value is: FV = PV x (1 + r)^n
Where, 
FV = Future Value 
PV = Present Value 
r = Rate of interest 
n = Number of years
Putting the given values in the formula, we get:
FV = $10,000 x (1 + 0.15)^2
FV = $13,225
Therefore, the future value of $10,000 two years from now at an interest rate of 15% is $13,225, which is option A.

If the Interest Rate Is 15 Percent, What Is the Future