SOLUTION: How much money should I invest to the nearest cent at 6%/a compounded monthly to have $20,000 in 4 years?

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Question 1185784: How much money should I invest to the nearest cent at 6%/a compounded monthly to have $20,000 in 4 years?
Answer by ikleyn(52775) About Me  (Show Source):
You can put this solution on YOUR website!
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How much money should I invest to the nearest cent at 6%/a compounded monthly to have $20,000 in 4 years?
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    20000 = X%2A%281%2B0.06%2F12%29%5E%2812%2A4%29


    20000 = X%2A%281%2B0.005%29%5E48


    20000 = X%2A1.005%5E48


    X = 20000%2F1.005%5E48 = 15,741.97  dollars.    ANSWER

Solved.

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To see many other similar  (and different)  solved problems on compounded interest accounts,  look into the lesson
    - Compounded interest percentage problems
in this site.


Learn the subject from there.