Answer:
If John Paul invests $9000 in six years' time at an interest of 3.5% per year, he would have $12695.39 in sixteen years' time
Explanation:
John Paul would receive the gift for his promotion in six years' time and would only be able to invest the amount for ten years(16 years less 6 years).
In knowing the amount he would have if invests the $9000 for 10 years at an interest rate of 3.5%, we need to use future value formula,which is given as :
Future value=PV*(1+i)^n
PV present value is the amount to be invested =$9000
i is the rate of return of 3.5%
n is the period of investmet i.e. 10 years
FV=9000*(1+0.035)^10
FV=$12695.39
