Question

A corporation worth 40 million is expected to grow 8% per year compounded annually for 5 years. (A) find the future value to the nearest million. (B)

Answer 1

I’m not for Sure I think is 56

Answer 2

$56 million

Explanation:

8% x 5 = 40%

40% of 40 = 16

40 + 16 = 56