SOLUTION: Please Help: Find the present value of the future amount. Assume 365 days in a year. Round to the nearest cent. $13,000 for 9 months; money earns 9.4% A) $11,883.00 B) $12,

Algebra ->  Equations -> SOLUTION: Please Help: Find the present value of the future amount. Assume 365 days in a year. Round to the nearest cent. $13,000 for 9 months; money earns 9.4% A) $11,883.00 B) $12,      Log On


   

Question 201921: Please Help:
Find the present value of the future amount. Assume 365 days in a year. Round to the nearest cent.
$13,000 for 9 months; money earns 9.4%
A) $11,883.00
B) $12,143.86
C) $12,233.38
D) $12,906.00
Answer by rfer(16322) About Me  (Show Source):
You can put this solution on YOUR website!
first find the interest rate for nine months since 9.4% is for a full year.
(.094/12)(9)=.0705 interest for 9 mo.
13000 is 1.0705 of present value
13000/1.0705=12143.86
answer B