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You have $16,500 you want to invest for the next 28 years. You are offered an investment plan that will pay you 6 percent per

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Answer #1

We use the formula:
A=P(1+r/100)^n
where
A=future value
P=present value
r=rate of interest
n=time period.

a.A=$16500*(1.06)^14*(1.1)^14

=$16500*8.58577901

=$141665.35(Approx).

b.A=$16500*(1.1)^14*(1.06)^14

=$16500*8.58577901

=$141665.35(Approx).

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