SOLUTION: Solve for future value or present value.
The owner of Waverly Sheet Metal Company plans to buy some new machinery in 6 years. He estimates that the machines he wishes to purchase
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The owner of Waverly Sheet Metal Company plans to buy some new machinery in 6 years. He estimates that the machines he wishes to purchase
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Question 1023849: Solve for future value or present value.
The owner of Waverly Sheet Metal Company plans to buy some new machinery in 6 years. He estimates that the machines he wishes to purchase will cost $39,700 at that time. What must he invest today at 8%, compounded semiannually, to have sufficient money to purchase the new machines? Answer by robertb(5830) (Show Source):
You can put this solution on YOUR website! Use the compound balance formula to find the present value of the investment.
==>
==> = $24,796.50, the amount that has to be invested today.
