IF i invest $400,000 compounded @ 10% per week for 50 weeks--- how much do i have at the end of 50 weeks? weeks

Answer 1

Use A = P(1 + r)^t

A: Amount of money you have

P: Principal initially invested

r: interest rate in similar units to t

t: time

A = 400,000(1 + 0.1)⁵⁰ = $46,956,341.14

Where are you investing your money?!

Note: If the interest rate had been given as 10% per year, then we would have to adjust it in our formula so that it matches with the time in weeks. To do this, we divide the 10% rate by the number of weeks in a year.

r = (0.1)/(365/7) = 0.00192 (only a 0.192% rate per week)

A = 400,000(1 + 0.00192)⁵⁰ = $440,214.94 (more realistic)