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Future Value of an Investment

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Presentation on theme: "Future Value of an Investment"— Presentation transcript:

1 Future Value of an Investment
example 6 Future Value of an Investment The future value of $10,000 invested for 4 years at interest rate r compounded annually is given by Find the rate r, as a percent, for which the future value is $14,641. Chapter 6.3 2009 PBLPathways

2 The future value of $10,000 invested for 4 years at interest rate r compounded annually is given by
Find the rate r, as a percent, for which the future value is $14,641.

3 The future value of $10,000 invested for 4 years at interest rate r compounded annually is given by
Find the rate r, as a percent, for which the future value is $14,641.

4 The future value of $10,000 invested for 4 years at interest rate r compounded annually is given by
Find the rate r, as a percent, for which the future value is $14,641. Initial value

5 The future value of $10,000 invested for 4 years at interest rate r compounded annually is given by
Find the rate r, as a percent, for which the future value is $14,641. Compounding factor

6 The future value of $10,000 invested for 4 years at interest rate r compounded annually is given by
Find the rate r, as a percent, for which the future value is $14,641.

7 The future value of $10,000 invested for 4 years at interest rate r compounded annually is given by
Find the rate r, as a percent, for which the future value is $14,641.

8 The future value of $10,000 invested for 4 years at interest rate r compounded annually is given by
Find the rate r, as a percent, for which the future value is $14,641.

9 The future value of $10,000 invested for 4 years at interest rate r compounded annually is given by
Find the rate r, as a percent, for which the future value is $14,641.

10 The future value of $10,000 invested for 4 years at interest rate r compounded annually is given by
Find the rate r, as a percent, for which the future value is $14,641.

11 The future value of $10,000 invested for 4 years at interest rate r compounded annually is given by
Find the rate r, as a percent, for which the future value is $14,641.

12 The future value of $10,000 invested for 4 years at interest rate r compounded annually is given by
Find the rate r, as a percent, for which the future value is $14,641.

13 The future value of $10,000 invested for 4 years at interest rate r compounded annually is given by
Find the rate r, as a percent, for which the future value is $14,641.

14 The future value of $10,000 invested for 4 years at interest rate r compounded annually is given by
Find the rate r, as a percent, for which the future value is $14,641.

15 The future value of $10,000 invested for 4 years at interest rate r compounded annually is given by
Find the rate r, as a percent, for which the future value is $14,641. r S

16 The future value of $10,000 invested for 4 years at interest rate r compounded annually is given by
Find the rate r, as a percent, for which the future value is $14,641. S (0.1, 14,641) r


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