document.write( "Question 500194: How much money should be invested in an account that earns 9% interest, compounded monthly, if you want to have $500,000 after 20 years? \n" ); document.write( "

Algebra.Com's Answer #338063 by mananth(16946) $\"\"$ $\"About$

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Principal P = x
\n" ); document.write( "Amount= 500000
\n" ); document.write( "years=n 20
\n" ); document.write( "compounded 12 times a year
\n" ); document.write( "Rate = 9.00
\n" ); document.write( "Amount = P*((n+r)/n)^n
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\n" ); document.write( "500000 = x *( 1 + r/n )^ n
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\n" ); document.write( "500000 =P(1+0.090/12)^ 12*20
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\n" ); document.write( "500000 = P( 1.00750 )^ 240
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\n" ); document.write( "500000 /( 1.01 )^ 240 = P
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\n" ); document.write( "P= 83206.42
\n" ); document.write( "Investment = $ 83,206.42 \n" ); document.write( "

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