SOLUTION: can someone help me with this problem please: Find the amount that should be invested now to accumulate the following amount, if the money is compounded as indicated. $2500 a

Algebra ->  Equations -> SOLUTION: can someone help me with this problem please: Find the amount that should be invested now to accumulate the following amount, if the money is compounded as indicated. $2500 a      Log On


   

Question 161908: can someone help me with this problem please:
Find the amount that should be invested now to accumulate the following amount, if the money is compounded as indicated.
$2500 at 7% compounded annually for 12 years
a. $1187.73
b. $5630.48
c. $1110.03
d. $1389.97
Answer by jojo14344(1513) About Me  (Show Source):
You can put this solution on YOUR website!

Remember: A=P%281%2Bi%2Fm%29%5Emn
Where-----
Continuing,
2500=P%281%2B0.07%2F1%29%5E%2812%2A1%29
2500=P%282.252%29
cross%282500%291110.03%2Fcross%282.252%29=P%2Across%282.252%29%2Fcross%282.252%29
P=1110.03 ANSWER (c)
Thank you,
Jojo