Respuesta :
The value of the investment after 30 years = $ 2,568,248 .
Investment value:
Investment value is the value that an investor is willing to compensate to acquire an asset or investment. It's grounded on the existent private aims, criteria, and judgment about the asset, and it doesn't continually reflect the asset's true value. Investment value is a metric that investors use to form investment opinions.
Evaluating the investment value :
For this case we have an equation of the form:
y = A × (b) ⁿ
Where,
A: initial amount
b: growth rate
n : time
Substituting values we have:
y = 75000× (1.125)ⁿ
For 30 years we have:
y = 75000 × (1,125)³⁰
y = 2568247.871
Rounding:
y = $2,568,248
Hence, the value of the investment after 30 years is: $ 2,568,248
What's Investment Valuation?
Investment Valuation is the logical process of adjudging the factual and projected worth of an asset or a company. A account placing a value on investment looks at the business's shares, equity, the perspective of coming earnings, and the market value, among other criteria .
Learn more about value of investment :
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