Question 754039
1.Find the present value, using the present value formula and a calculator. (Round to the nearest cent).
Achieve $225,500 at 8.75% compounded countinously for 8 years, 145 days.
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145 days = 145/365 =~ 0.39726
{{{FV = PV*e^(rt)}}}
{{{225000 = PV*e^(0.0875*8.39726)}}}
{{{PV = 225000/e^(0.0875*8.39726)}}}
PV =~ $107914.60