Math Problem Statement
a real estate developer is looming for investors to help fund a new confo complex he promises a 145% return on investment in 4 years. if youre interested In in investing $30,000 and the developer follows through on his promise, how much will you get back in 4 years?
Solution
To calculate how much you will get back in 4 years, given a promised return of 145%, we can use the following steps:
Step-by-step solution:
- Initial investment: $30,000
- Return on investment (ROI): 145% over 4 years
To find out how much you will receive, you can use this formula:
Substitute the values:
Answer:
You will receive $73,500 after 4 years.
Would you like more details or have any further questions?
Here are some related questions:
- How is ROI typically calculated in real estate investments?
- What factors can affect whether a developer meets the promised ROI?
- What are some risks involved in real estate investment projects like this?
- How does compound interest compare to simple ROI in investment calculations?
- What are some ways to diversify investments beyond real estate?
Tip: Always research a developer's track record before investing, as promised returns can sometimes be overly optimistic or unreliable.
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Math Problem Analysis
Mathematical Concepts
Return on Investment (ROI)
Percentage
Basic Arithmetic
Formulas
Total Return = Initial Investment * (1 + ROI/100)
Theorems
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Suitable Grade Level
Grades 9-12
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