Question

You save $500 in a retirement account at age 25. Is increased an average of 10% per year until you are 65. Which formula and result indicates how much money you will have in this account at age 65

Answer 1

A=p (1+r)^t
A=future value=?
P=principle=500
R=interest rate=10/100=0.10
t= time=65-25

A=500×(1+0.10)^(65-25)
A=22,629.63