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What is the future worth 8 years from now of a present cost of 175,000 at an interest rate of 0.04 per year?

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Answer #1

Answer : Future value = PV ( 1+r)n

present value = 1,75,000

n = 8

r = 0.04

Future value = 1,75,000(1+0.04)8

FV = $2,39,499.58 / $2,39,500

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