You have 15,000 to invest in a retirement account. The fund increases at a rate of 10% compounded monthly. What will be the value of the investment at the end of 30 years? Round to the nearest dollar.

Solución

Y o u ha v e 15, 000 t o in v es t in a re t i re m e n t a cco u n t . T h e f u n d in cre a ses a t a r a t e o f 10% co m p o u n d e d m o n t h l y . Wha t w i ll b e t h e v a l u e o f t h e in v es t m e n t a t t h e e n d o f 30 ye a rs ? R o u n d t o t h e n e a res t d o ll a r .

Amount : 297560.99

Pasos de solución

Translate the problem into an equation:

A = 15000 (1 + \frac{0.1}{12})^{12 \cdot 30}

15000 (1 + \frac{0.1}{12})^{12 \cdot 30} = 297560.99059 \dots

Redondear al más cercano hundredth:

297560.99

Amount : 297560.99