a) If a trucking company invested $2,400 of its excess profits at 8% compound interest on December 31, 1991, how much money would be accumulated on December 31, 1996? , b) What would be the interest rate if the trucking company had the same total amount at the end of the period but invested $2,000 at the beginning instead? c) How much would the company have to invest in (a) if the accumulated amount on December 31, 1996 would be $2,400?
. a) If a trucking company invested $2,400 of its excess profits at 8% compound interest on December 31, 1991, how much money would be accumulated on December 31, 1996? ,
b) What would be the interest rate if the trucking company had the same total amount at the end of the period but invested $2,000 at the beginning instead?
c) How much would the company have to invest in (a) if the accumulated amount on December 31, 1996 would be $2,400?
Future value is the value of money given in the present after a specified period of time in the future adjusted with the time value of money. It is the total present value in addition to compound interest for a period of time. The time value considers changes in the market rates of interest, inflation rates, currency rates, etc
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