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Question 5.S-TP.1: Calculating Future Values Assume you deposit $10,000 today i...

Calculating Future Values Assume you deposit $10,000 today in an account that pays 6 percent interest. How much will you have in five years?

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We need to calculate the future value of $10,000 at 6 percent for five years. The
future value factor is:
1.06^{5} = 1.3382

The future value is thus $10,000 × 1.3382 = $13,382.26.

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