Question

When I was considering what to do with my $10,000 Lottery winnings, my broker suggested I invest half of it in gold, the value of which was growing by 9% per year, and the other half in CDs, which were yielding 5% per year, compounded every 6 months. Assuming that these rates are sustained, how much will my investment be worth in 10 years? (Round your answer to the nearest cent.)

Answer 1

gold: FVg = 5000(1+0.09)^10
CD: FVc = 5000(1+0.05/2)^20

Calculate each and add together.

Answer 2

so its 25103.29

Answer 3

no sorry i forgot to divide

Answer 4

20029.89

Answer 5

Thank you!!!

Answer 6

= 11836.82 + 8193.08 = 20029.90