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Bryan has decided to invest his $100,000 into stock market at 7.5% interest rate (on average) compounded monthly*. In addition, he was making regular payments of $100 twice a month into saving account at 2.75% interest rate. Ten years later, he decided to close both accounts and reinvest the money into a new fast-growing company. He had just learned about this business and was adamant that the return could be exponential. For the last ten years, Bryan was renting a house paying $1750 monthly.
a. What is the value of Bryan`s inheritance 10 years after the investment into the stock market?
Show your work.
The formula:
Calculations:
b. How much money did his saving account accumulate in 10 years? Show your work.
c. How much did he spend on renting over 10 years? Show your work.
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