document.write( "Question 170112: How much should you invest at 12% compounded monthly in order to purchase a $25,000 car in 5 years? \n" ); document.write( "

Algebra.Com's Answer #125580 by checkley77(12844) $\"\"$ $\"About$

You can put this solution on YOUR website!
x(1+.12/12)^5*12=25,000
\n" ); document.write( "x(1.01)^60=25,000
\n" ); document.write( "x*1.8167=25,000
\n" ); document.write( "x=25,000/1.8167
\n" ); document.write( "x=13,761 needs to be invested for 5 years.
\n" ); document.write( "Proof:
\n" ); document.write( "13,761(1+.12/12)^5*12=25,000
\n" ); document.write( "13,761(1.01)^60=25,000
\n" ); document.write( "13,761*1.8167=25,000
\n" ); document.write( "25,000~25,000
\n" ); document.write( " \n" ); document.write( "

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