Final answer:
Natalie will have approximately $151,575 at age 64, while Kaitlyn will have approximately $497,815 at age 64.
Step-by-step explanation:
To calculate the future value of an investment, we can use the formula:
FV = P * (1 + r)ⁿ
Where:
- FV is the future value of the investment
- P is the annual investment amount
- r is the interest rate per period
- n is the number of periods
For Natalie's investment, we have:
- P = $9,000
- r = 7% = 0.07
- n = 10 years
Plugging in these values, we get:
FV = $9,000 * (1 + 0.07)¹⁰
Calculating this, Natalie will have approximately $151,575 at age 64.
For Kaitlyn's investment, we have:
- P = $9,000
- r = 7% = 0.07
- n = 30 years
Plugging in these values, we get:
FV = $9,000 * (1 + 0.07)³⁰
Calculating this, Kaitlyn will have approximately $497,815 at age 64.