SOLUTION: How much principal should you invest at 4% in order to have $3,000 for a vacation to Europe in 3 years?

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Question 329129: How much principal should you invest at 4% in order to have $3,000 for a vacation to Europe in 3 years?
Found 2 solutions by Fombitz, Theo:
Answer by Fombitz(32388) About Me  (Show Source):
You can put this solution on YOUR website!
3000=P%281%2B0.04%29%5E3
P=3000%2F1.124864
P=2666.99
Let's round it up to $2700.

Answer by Theo(13342) About Me  (Show Source):
You can put this solution on YOUR website!
You would have to invest $2,661.292336 today at 4% interest compounded monthly in order to have $3,000 at the end of 3 years from now.