Question

If you invest $9000 how much will you have
A. in two years at 9%
B. in 7 years at 12%
C. in 25 years at 14%
D. in 25 years at 14% (compounded Semi-annually)

I don't know how to even start this can anyone help?

Answer 1

A. PV = 9,000; rate = 9%; N = 2 years
FV = PV x FVIF9%, 2 years
= 9,000 x 1.188
= $10,692

Answer 2

Ok how did you get 1.188

Answer 3

Look at the A appendix to find the number under the 9% to find the answer.