To estimate the value of Paul's investment at maturity, calculate the number of years until Paul will go to university, and use compound interest to calculate the value of Paul's investment at that time.

A=P(1+r)t

where A =value of the total investment after t years

P=the total initial investment

r=combined interest rate

t=number of years after the money was invested

p=25,000

r=4.09400968

t=5

With Paul's calculation and estimate, include a list of the assumptions Paul has made. if he looks at the history, of the stocks and funds that he chose, do you think his calculation is realistic? why?