SOLUTION: Can I get a littl help please?
How much must you invest today at 6.5% compounded semiannually if you would like to have $25,000 in 10 years? (To the nearest cent)
Thank you v
Algebra ->
Finance
-> SOLUTION: Can I get a littl help please?
How much must you invest today at 6.5% compounded semiannually if you would like to have $25,000 in 10 years? (To the nearest cent)
Thank you v
Log On
Question 430357: Can I get a littl help please?
How much must you invest today at 6.5% compounded semiannually if you would like to have $25,000 in 10 years? (To the nearest cent)
Thank you very much! Answer by stanbon(75887) (Show Source):
You can put this solution on YOUR website! How much must you invest today at 6.5% compounded semiannually if you would like to have $25,000 in 10 years?
-----
A(t) = P(1+(r/n))^(nt)
----
25,000 = P(1+(0.065/2))^(2*10)
-----
25000 = P(1.0325)^(20)
---
P = 25000/1.8958
------------
P = $13,186.78
=================
Cheers,
Stan H.
(