Question

When Brie was born, she received a gift $500 from her grandparents. Her parents put it into an account at an annual yield of 5.2%. Brie is now 12 years old. How much is this gift worth now?

Answer 1

Now = 918,66

Explanation:

We can calculate it using a exponential function:
`Now = "initial" . (1+ tax) ^t`.
In this case:
`Now = 500 "x" (1+ 0.052)^12`
`Now = 500 "x" 1.83733724`
`Now = 918,66`