Final answer:
The future value of $5,000 invested today with an annual interest rate of 6% for three years is approximately $5,955.08.
Step-by-step explanation:
To calculate the future value of $5,000 invested today with an annual interest rate of 6% (assuming annual compounding), you can use the formula for compound interest.
Future Value = Principal × (1 + interest rate)time
Plugging in the values:
Principal = $5,000, interest rate = 0.06, time = 3 years
Future Value = $5,000 × (1 + 0.06)3
Simplifying the calculation:
Future Value = $5,000 × (1.06)3 = $5,000 × 1.191016 = $5,955.08
So, the future value of $5,000 invested today for three years with an annual interest rate of 6% is approximately $5,955.08.