Question

You plan to invest $350 in a growth fund that has a rate of 1.5% compounded quarterly. How much money will this investment be worth after 50 years?

Answer 1

Hey man I know the answer to this question it would be $449.12

Step-by-step explanation: 350*1.005^50= 449.12

Answer 2

Principal = $ 350

Quarterly Rate of Interest = 1.5 %

Time =50 years

n=50 × 4=200, as rate of interest is compounded Quarterly.

Amount

`=P(1+(R)/(100))^n\\\\=350* (1+(1.5)/(100))^(200)\\\\=350* ((101.5)/(100))^(200)\\\\=350* ({1.015})^(200)\\\\=350* 19.6430\\\\=6875.0600`

=$ 6875 (Approx)