Essay
Sam wishes to invest $8,000 into an account earning 6% compounded annually.If he invests the money today,how much will be in the account in 6 years? If he waits three years before investing his $8,000 and invests that money for three years,will he earn one-half of the interest earned in the first scenario since he had the same amount invested at the same rate but for only one-half of the time? Explain how you arrived at your answer.
Correct Answer:
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FV = PV × (1 + r)n = $8,000 × (1.06)6 = $1...View Answer
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Correct Answer:
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View Answer
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