Mathematics

Guest

13 September, 12:50

A formula often used to find the dollar value of an

investment is A = P (1 + r) ', where A is the dollar value

after t years, P is the initial amount invested, and r is

the annual interest rate expressed as a decimal.

According to this formula, which of the following is

closest to the dollar value of $1,000 invested for

2 years at a 5% annual interest rate?

F. $1,050

G. $1,103

H. $2,000

J. $2,100

K. $2,250