<PRE><B>Question 768236</B>
Bobby needs to save $10,000 for school in the next two years. He found a bank that offers a 10% interest rate compounded annually. What does he need to deposit at the beginning of the year to have enough money for school?
-------
10,000 = P(1+(0.10/1))^(1*2)
----
10,000 = P(1.1)^2
----
P = $8264.46
================
Cheers,
Stan H.
================</PRE>