What is the future value of $500 a year for nine years compounded annually at 11%? How much will the future value of $900 for nine years compounded annually at 11% be?
1-FV of $500 =$1,279.02.
2-FV 0f $900=$2,302.23.
The FV in 1- above is for a lump sum of $500 in 9 years @ 11%.
The FV of $500 per year, every year @11% for 9 years will be=$7,081.99
What is the future value of $500 a year for nine years compounded annually at 11%?
500(1.11)^9 = 1279.0184621932502955
$1279.02
How much will the future value of $900 for nine years compounded annually at 11% be?
900*(1.11)^9 = 2302.2332319478505319
$2302.23
