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If Sarah can obtain a 5.0% yield on a single $600 EE bond, how much will the bond be worth after 25 years (round your answer)

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Answer #1

Worth of the Bond after 25 Years

Worth of the Bond after 25 Years = Face Value of the Bond x (1 + Yield)n

= $600 x (1 + 0.05)25

= $600 x (1.05)25

= $600 x 3.386354941

= $2,032

“Hence, the Worth of the Bond after 25 Years will be $2,032”

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