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DedPeter
1 month ago
7

A young man is the beneficiary of a huge trust fund 35 years ago. If they had set aside $25,000, how much will be in the trust n

ow if they could invest the money at 2.5% per year compounded annually?
Business
1 answer:
soldi70 [3.1K]1 month ago
6 0

Answer:

The final amount is $59,330.13.

Explanation:

Based on the information provided, the data is as follows:

Principal amount (P) = $25,000

Annual interest rate (r) = 2.5%

Investment duration (T) = 35 years

We can find the total amount using this formula:

CI = P (1 + R)^T

= $25,000 (1 + 0.025)^35

= $25,000 (2.37320518607)

= $59,330.13

Therefore, the total investment value is $59,330.13.

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