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​$ 6000 invested at an APR of 3.1​% for 23 years

1 Answer

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Answer:

The future value of an investment of US$ 6,000 after 23 years at 3.1% APR is US$ 12,108.

Explanation:

Investment principal = US$ 6,000

Interest rate = 3.1% compounded annually = 0.031

Time = 23 years

For calculating the future value, we will use the following formula:

Future Value = Investment principal * (1 + r)ⁿ

Replacing with the real values, we have:

FV = 6,000 * (1 + 0.031)²³

FV = 6,000 * (1 + 0.031)²³

FV = 6,000 * 2.018 (Rounding to three decimal places)

FV = US$ 12,108

The future value of an investment of US$ 6,000 after 23 years at 3.1% APR is US$ 12,108.

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