SOLUTION: Gil wants to have $9,500 in 7 years. Use the present value formula to calculate how much he should invest now at 2% interest, compounded semiannually in order to reach his goal.

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Question 1187849: Gil wants to have $9,500 in 7 years. Use the present value formula to calculate how much he should invest now at 2% interest, compounded semiannually in order to reach his goal.
Answer by Boreal(15235) About Me  (Show Source):
You can put this solution on YOUR website!
7 years cpd semiannually is 14 different compounding times
9500=m(1+0.01)^14, the 0.01 being from 0.02/2
m=$8264.65, rounding at the end.