Investments in the stock market have increased at an average compound rate of about 5% since 1900.

Question:

Investments in the stock market have increased at an average compound rate of about 5% since 1900. It is now 2013.
a. If you invested $1,000 in the stock market in 1900, how much would that investment be worth today?
b. If your investment in 1900 has grown to $1 million, how much did you invest in 1900?
Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question

Fundamentals of Corporate Finance

ISBN: 978-0077861629

8th edition

Authors: Richard Brealey, Stewart Myers, Alan Marcus

Question Posted: