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In: Finance

If an investment of $40,000 is earning an interest rate of 8.00%, compounded annually, then it will take 4.50 years for this investment to reach a value of $56,554.46—assuming that no additional deposits or withdrawals are made during this time.

Please show excel calculations

If an investment of $40,000 is earning an interest rate of 8.00%, compounded annually, then it will take 4.50 years for this investment to reach a value of $56,554.46—assuming that no additional deposits or withdrawals are made during this time.

Which of the following statements is true—assuming that no additional deposits or withdrawals are made?

If you invest $5 today at 15% annual compound interest for 82.3753 years, you’ll end up with $100,000.

If you invest $1 today at 15% annual compound interest for 82.3753 years, you’ll end up with $100,000.

Solutions

Expert Solution

1)

Check Formula in Formula Tab.

2)

Therefore, 2nd statement is True

jeff jeffy answered 2 years ago
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