Question

Kara George received a $16,000 gift for graduation from her uncle. If she deposits this in an account paying 5 percent, what will be the value of this gift in 12 years

Answer 1

Based on the amount of the gift that Kara George received and the interest rate, the value in 12 years would be $28,733.70.

How much would the gift be worth in 12 years?

This can be found with the formula:

= Amount x ( 1 + rate) ^ number of years

Solving gives:

= 16,000 x ( 1 + 5%)¹²

= 16,000 x 1.795856326

= $28,733.70

Find out more on future value at https://brainly.com/question/24703884.

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