Using the formula A=P(1.10)^(n), where A is the total value of the investment, P is the initial value of the investment, and n is the number of years the money is invested. If $1500 is invested in the stock market at this annual rate of return, what is the expected total value after 19 years? explain
To calculate the expected total value after 19 years, we need to substitute the given values into the formula A = P(1.10)^n.
In this case, P is $1500, and n is 19 years. So the formula becomes:
A = $1500 * (1.10)^19
Calculating this equation, the expected total value after 19 years is:
A = $1500 * (1.10)^19 ≈ $5,490.84
Therefore, the expected total value of the investment after 19 years is approximately $5,490.84.