Answer:
FV= $7,040.46
Step-by-step explanation:
Giving the following information:
Initial investment (PV)= $5,500
Number of periods (n)= 10 years
Interest rate (i)= 2.5%
To calculate the future value (FV), we need to use the following formula:
FV= PV*(1 + i)^n
FV= 5,500*(1.025^10)
FV= $7,040.46
