Question 830819: How much would you have deposit now to reach $75,000 goal in 7 years in an account of daily compounding at an APR of 8%?
Answer by lwsshak3(11628)   (Show Source):
You can put this solution on YOUR website! How much would you have deposit now to reach $75,000 goal in 7 years in an account of daily compounding at an APR of 8%?
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compound interest formula: A=P(1+i)^n, P=initial investment, i=interest per period, n=number of periods, A=amt after n periods
..
P=?
i=.08/365=
n=7*365=2555
A=$75,000
..
75000=P(1+.000219)^2555
75000=P(1.000219)^2555
P=75000/(1.000219)^2555)
P≈$42,843
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