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You plan to invest $1,826 at the end of each of the next 19 years. If...

You plan to invest $1,826 at the end of each of the next 19 years. If the investment earns 6.5% annually, what is the investment worth at the end of the investment period?

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Answer #1

Information provided:

Annual investment= $1,826

Time= 19 years

Interest rate= 6.5%

The question is solved by calculating the future value.

Enter the below in a financial calculator to compute the future value.

PMT= -1,826

N= 19

I/Y= 6.5

Press the CPT key and FV to compute the future value.

The value obtained is 64,853.53

Therefore, the investment will be worth $64,853.53 at the end of the investment period.

In case of any query, kindly comment on the solution.

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