Mr. Altgeldt has $5,000 to invest. He wants to know how much it will amount to if

Question:

Mr. Altgeldt has $5,000 to invest. He wants to know how’ much it will amount to if he invests it at the following rates:
a. 6% per year for 21 years
b. 8% per year for 33 years
Required:
Calculations of present and for single payments and for annuities, to make the exercises more realistic, we do no give specific guidance with each individual exercise.

Future Value
Future value (FV) is the value of a current asset at a future date based on an assumed rate of growth. The future value (FV) is important to investors and financial planners as they use it to estimate how much an investment made today will be worth...