Question: Problem 9-1 Future value [LO9-2] You invest $4,200 for three years at 7 percent. a. What is the value of your investment after one year?
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Problem 9-1 Future value [LO9-2] You invest $4,200 for three years at 7 percent. a. What is the value of your investment after one year? Multiply $4,200 x 1.07. Value of investment b. What is the value of your investment after two years? Multiply your answer to part a by 1.07. (Round your answer to 2 decimal places.) Value of investment c. What is the value of your investment after three years? Multiply your answer to part b by 1.07. This gives your final answer. (Round your answer to 2 decimal places.) Value of investment d. Combine these steps using the formula Fv = PV * (1 + i)" to find the future value of $4,200 in 3 years at 7 percent interest. (Round your answer to 2 decimal places.)
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