Exercise. Mr Green want to have 300,000 dollars in Maura's college fund on her 18th birthday, and he want to know the impact on this goal of having 10,000 dollars invested at 9,6 % compounded quarterly on her first birthday. To advise Mr Green regarding this, find a) the future value of the 10,000 dollars investment, b) the amount of compound interest that the investment earns.

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ISBN:9780470458365
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Exercise.
Mr Green want to have 300,000 dollars in Maura's college fund on her 18th birthday, and
he want to know the impact on this goal of having 10,000 dollars invested at 9,6 %
compounded quarterly on her first birthday.
To advise Mr Green regarding this, find
a) the future value of the 10,000 dollars investment,
b) the amount of compound interest that the investment earns.
Transcribed Image Text:Exercise. Mr Green want to have 300,000 dollars in Maura's college fund on her 18th birthday, and he want to know the impact on this goal of having 10,000 dollars invested at 9,6 % compounded quarterly on her first birthday. To advise Mr Green regarding this, find a) the future value of the 10,000 dollars investment, b) the amount of compound interest that the investment earns.
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