If his savings account earns a more aggressive 14 percent annual rate of return,Enrique's savings will be worth approximately ________ more by age 68.
A)$4,145
B)$245,473
C)$498,596
D)$538,807

Question

Quizplus · Accepted Answer

A 14% annual rate of return is quite high, and over a long period, it would significantly increase the value of Enrique's savings due to the power of compound interest. $498,596 is a reasonable estimate for the additional amount his savings would grow by age 68 at this rate.

If His Savings Account Earns a More Aggressive 14 Percent