Discover a wealth of information and get your questions answered on IDNLearn.com. Join our interactive community and access reliable, detailed answers from experienced professionals across a variety of topics.
Sagot :
The future value of the mutual fund after 15 years is equal to $1,256.55.
Given the following data:
- Principal = $5,000
- Interest = 3.5% = 0.035
- Time = 15 years
To find the future value of the mutual fund after 15 years:
Mathematically, compound interest is given by the formula:
[tex]A = P(1 + \frac{r}{n})^{nt}[/tex]
Where;
- A is the future value.
- P is the principal or starting amount.
- r is annual interest rate.
- n is the number of times the interest is compounded in a year.
- t is the number of years for the compound interest.
Substituting the given parameters into the formula, we have;
[tex]A = 750(1 + 0.035)^{15}\\\\A = 750(1.035)^{15}\\\\A = 750(1.6754)[/tex]
Future value, A = $1,256.55
Read more: https://brainly.com/question/22339845
Thank you for being part of this discussion. Keep exploring, asking questions, and sharing your insights with the community. Together, we can find the best solutions. Your questions deserve accurate answers. Thank you for visiting IDNLearn.com, and see you again for more solutions.