My question is: Joseph invested $1000 into a hedge fund. The fund promised a yearly interest rate of 10%. If he deposited an additional $100 every month into the account to add to his initial investment of $1000, how much money will he have in the fund after two years? Your thoughts:
For the first year, Joseph will have invested $1000 + ($100 * 12) = $2200. The interest calculated for the first year will be $2200 * 10% = $220. The total value of the investment for the first year will be $2200 + $220 = $2420. For the second year, the total invested will be $2420 + ($100 * 12) = $3620. The interest calculated after the second year will be $3620 * 10% = $362. Therefore, Joseph's investment in the mutual fund will be worth $3620 + $362 = $3982. The final answer: 3982.