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) You open a savings account with $ 9 , 0 0 0 , what is the value of that account: a . In 2

) You open a savings account with $9,000, what is the value of that account:
a. In 2 years at 9 percent?
b. In 2 years at 12 percent?
c. In 25 years at 9 percent?
d. In 25 years at 5 percent?
What does this exercise tell you about the relationship of interest to the future value calculation?
What does this exercise tell you about the relationship of time to the future value calculation?

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