Jolie bought a property today that she thinks is worth $1,000,000. She thinks the property will...
Jolie bought a property today that she thinks is worth $1,000,000. She thinks the property will appreciate at the rate of 9 percent annually. If she is correct, what will the property be worth in four years?
Homework Answers
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=1,000,000*(1.09)^4
=$1,411,581.61
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