The S&P TSX Composite index delivered annual returns of 10.55%,-8.32%,21.08% and 9.10% from 2014 to 2017.If you invested $10,000 in the index at the beginning of 2010,what amount would your investment have been worth at the end of 2013?
A)$13,256
B)$13,388
C)$12,908
D)$12.974
E)$14.388

Question

Quizplus · Accepted Answer

To find the value at the end of 2013, we need to reverse calculate from the end of 2017 using the given annual returns. Starting with $10,000 at the beginning of 2014, apply each year's return in reverse: 2017 (9.10%), 2016 (21.08%), 2015 (-8.32%), and 2014 (10.55%). The value at the end of 2013 is approximately $13,388.

The S&P TSX Composite Index Delivered Annual Returns of 10