Question

What is the future value of $2,600 in 19 years assuming an interest rate of 7.9 percent compounded semiannually? (do not round intermediate calculations and round your final answer to 2 decimal places. (e.g., 32.16))?

Answer 1

The future value will be given by the formula:
FV=p(1+r/100n)^nt
where
p=principle
r=rate
n=terms
t=time

thus plugging the values in the formula we get:
FV=2600(1+7.9/(100*2))^(19*2)
FV=$11,331.94

Answer: $11,331.94