Compute the future value and the compound interest earned for each of the following investments. Use Tables 16-1A&B or a calculator.

Compound Interest

Interest on both the initial principal and the accumulated interest from previous periods on a deposit or loan.

Future Value

The worth of an asset or cash at a specified date in the future that is equivalent in value to a specified sum today.

Absorb the essence of the future value concept and understand its computation technique.
Understand the concept of compound interest and its computation.
Solidify your understanding in managing financial tables and calculators for the assessment of future values and compound interest.

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Final Answer :

Learning Objectives

Absorb the essence of the future value concept and understand its computation technique.
Understand the concept of compound interest and its computation.
Solidify your understanding in managing financial tables and calculators for the assessment of future values and compound interest.