Calculate the future value

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Reference no: EM131841046

1. Calculate the future value of $5,000 in :

a. Four years at an interest rate of 7% per year.

b. Eight years at an interest rate of 7% per year.

c. Four years at an interest rate of 14% per year. for the # question use this formula : ( FVn = C*(1+r)^n

d. Why is the amount of interest earned in part ?(a?) less than half the amount of interest earned in part ?(b?)?

2. Calculate the future value of $2,000 in :

a. Four years at an interest rate of 7% per year.

b. Eight years at an interest rate of 7% per year.

c. Four years at an interest rate of 14% per year.

for the # question use this formula : ( FVn = C*(1+r)^n

d. Why is the amount of interest earned in part ?(a?) less than half the amount of interest earned in part ?(b?)?

Reference no: EM131841046

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