Question 1205267
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Part 1
How much must be deposited today into the following account in order to have 30,000 in 7 years for a down payment on a​ house? Assume no additional deposits are made.
An account with quarterly compounding and an APR of 6.6 ​%
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Part 1
​$
  
enter your response here should be deposited today.
​(Do not round until the final answer. Then round to the nearest cent as​ needed.)
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<pre>
We have one time deposit "today". The amount of the deposit is x dollars (an unknown value).
The deposit is compounded quarterly at 6.6% annual interest.


The goal is to get $30000 in 7 years.


The formula for the future value at given conditions is


    30000 = {{{x*(1+0.066/4)^(7*4)}}}.


Here the number "4" is standing for 4 quarters per year.


From the equation,

    x = {{{30000/(1+0.066/4)^28}}} = 18972.06  (rounded to the nearest cent).   <U>ANSWER</U>
</pre>

Solved.


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Some people learn the subject better, when they see several similar solved problems,
collected in one place.


Keeping it in mind, &nbsp;I provide here the references to my lessons in this site,
where several similar problems are placed. &nbsp;The links are


&nbsp;&nbsp;&nbsp;&nbsp;- <A HREF=https://www.algebra.com/algebra/homework/percentage/lessons/Compound-interest-percentage-problem.lesson>Compounded interest percentage problems</A> 

&nbsp;&nbsp;&nbsp;&nbsp;- <A HREF=https://www.algebra.com/algebra/homework/logarithm/Problems-on-discretely-compound-accounts.lesson>Problems on discretely compound accounts</A> 


in this site. &nbsp;Learn the subject from there.