+0  
 
0
36
1
avatar

Please answer this question. Tim wants to invest some money in a bank which compounds quarterly with an annual interest rate of 7%. To the nearest dollar, how much money should he invest if he wants a total of $60,000 at the end of 5 years? Thanks!

 Jan 18, 2019
 #1
avatar+95884 
+1

60000 = A  ( 1 + .07 / 4) ^(5 * 4)

 

60000 = A ( 1.0175 )^20       

 

60000 / [ 1.0175]^20  = A ≈    $42,409.47 

 

 

cool cool cool

 Jan 18, 2019

13 Online Users

avatar

New Privacy Policy

We use cookies to personalise content and advertisements and to analyse access to our website. Furthermore, our partners for online advertising receive information about your use of our website.
For more information: our cookie policy and privacy policy.