SOLUTION: Use the present value formula to determine the amount to be invested now or the present value when needed. the desired accumulated amount is $4200 after 9 years invested in an acco

Question 1033136: Use the present value formula to determine the amount to be invested now or the present value when needed. the desired accumulated amount is $4200 after 9 years invested in an account with 4% interest compounded annually.
Answer by LinnW(1048) (Show Source): You can put this solution on YOUR website!

where p is the original amount

1.04^9 = approximately 1.423

divide each side by 1.423
2951.50 approximately
RELATED QUESTIONS
Use the present value formula to determine the amount to be invested now, or the present... (answered by robertb)

Use the present value formula to determine the amount to be invested now or the present... (answered by Boreal)

Using the present value formula to determine the amount to be invested now, or the... (answered by Theo)

The present value of a sum of money is the amount that must be invested now, at a given... (answered by ikleyn)

The present value of a sum of money is the amount that must be invested now, at a given... (answered by Theo)

Investment: The Dreyfus stocks have returned an average of 14.9% per year for the past... (answered by stanbon)

How do I salve this type of question: The present value of a sum of money is the amount (answered by ankor@dixie-net.com)

Find the principal needed now to get the given amount, that is, find the present value. (answered by mathmate)