some money was put away at 5% interest annualy. in the end he has $375 what did he start of with?
He started with $357.14
You use this formula to calculate this:
PV=FV(1 + R)^-N
PV=375(1.05)^-1
PV=$357.14
Guest #1 assumed the time was for ONE year, but the problem does not state the time period ! HOW MANY YEARS??
