Determmining future value of a single amount


1. (Future value of a single amount) If you deposit $2,000 in a 5-year certificate of deposit at 5.2%, how much will it be worth in five years?

2. (Future value of a single amount) If you deposit $2,000 in a 5-year certificate of deposit at 5.2% with quarterly compounding, how much will it be worth in five years?

3. (Future value of an annuity) You choose to invest $50/month in a 401(k) that invests in an international stock mutual fund. Assuming an annual rate of return of 9%, how much will this fund worth if retiring in 40 years?

4. (Future value of an annuity) If, instead, you invest $600/Year in a 401(k) that invests in an international stock mutual fund. Assuming an annual rate of return of 9%, how much will this fund worth if retiring in 40 years?

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Finance Basics: Determmining future value of a single amount
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