user
A company is offering a new investment opportunity with an annual interest rate of 5%. If you invest $10,000 today, how much will your investment be worth in 10 years if the interest is compounded quarterly?
assistant
To calculate the future value of an investment with compound interest, we can use the formula:

Future Value = Principal * (1 + Interest rate / Number of compounding periods)^(Number of compounding periods * Number of years)

In this case, the principal is $10,000, the annual interest rate is 0.05 or 5%, the number of compounding periods per year is 4 (quarterly), and the number of years is 10.

Plugging these values into the formula, we get:

Future Value = 10000 * (1 + 0.05 / 4)^(4 * 10)
                     = 10000 * (1.0125)^40
                     ≈ 16470.09

So, after 10 years, your investment will be worth approximately $16,470.09.