My Math Forum % Calculation

 Elementary Math Fractions, Percentages, Word Problems, Equations, Inequations, Factorization, Expansion

 June 12th, 2018, 09:09 AM #1 Newbie   Joined: Jun 2018 From: USA Posts: 1 Thanks: 0 % Calculation Amsterdam Hedge Fund invests \$3 trillion and gets \$750 billion in return in the first year. If Amsterdam Hedge Fund can maintain that performance (Return on Investment), how much return (dollar value) will they get during the five years after they invest \$5 trillion? Assume that the rate of return is compounded yearly. They have the answer as 1526 trillion. I am getting a different number Ratio = 750 Billion / 3000 Billion = 0.25 x / 5 trillion = 0.25 x = 1.25 trillion I do not know if the 5 trillion is per year or per 5 years if per year => 1.25 * 5 = Return if per 5 years =. 1.25 /5 = Return but either, will not give 15,26 Trillion Last edited by skipjack; November 7th, 2018 at 10:16 PM.  November 7th, 2018, 10:28 PM #2 Global Moderator Joined: Dec 2006 Posts: 20,098 Thanks: 1905 Each year, the investment is increased by 25%, i.e. multiplied by 1.25. In 5 years, \$5 trillion will become \$5 trillion × 1.25$^5$, which is \$15258789062500.

 Thread Tools Display Modes Linear Mode

 Similar Threads Thread Thread Starter Forum Replies Last Post gaurav2411 Probability and Statistics 2 January 13th, 2016 04:37 AM joskevermeulen Calculus 1 December 29th, 2015 06:02 AM Dacu Elementary Math 9 November 21st, 2014 05:34 PM diegosened Algebra 2 April 7th, 2010 05:53 AM mathm1998 Calculus 1 April 5th, 2009 06:18 AM

 Contact - Home - Forums - Cryptocurrency Forum - Top