+7 How much money should I invest at an annually compounded interest rate of 5% so that I have 500,000$ in ten years? Express your answer as a dollar value rounded to the nearest cent.
+36916 FV = PV (1 + i)^n
FV=future value = 500000
i = interest = .05
n = years = 10
PV= present value....the amount you have to invest now
500,000 = PV (1+.05)^10 Solve for PV
+128474 500,000 = A (1.05)^10 divide both sides by (1.05)^10
500,000/(1.05)^10 = A ≈
$306,956,63
+36916 Way to go Chris ! I knew you could do it with just a little help ! Haha.....
