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Investment and Return Adjustment

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V=future value 9.85 when:
pv=present value is l
i=interest rate per period or 10%
n=number of periods (n is an exponent) is 24

fv = pv*((1+i)^n)
fv = 1*((1+0.1)^24
fv = 9.85

How much would your dollar be worth if you had taken .33 out of your investment at the end of the 12th year?

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Solution Summary

The solution calculates FV amount of investments.

Solution Preview

So basically we want to subtract out the FV of the 0.33 that we take out at the end of the 12th year. This amount is:

FV = ...

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