Question

what amount of cash must be invested today in order to have $30,000 at the end of one year assuming the rate of return is 9%?-$22,727.28-$27,000.00$27,522.94-$27,300.00

Answer 1

$27,522.94-

Step-by-step explanation:

We are given with the final amont and we need to find the principal

the principal at 9% for 1 year reach 30,000

`Principal \: (1+ r)^(time) = Amount`

`(Amount)/((1 + rate)^(time) ) = Principal`

`(30,000)/((1 + 0.09)^(1) ) = Principal`

30,000/1.09 = Principal

27,522.9357

If we deposit 27,522.94 at 9% per year in one year we have 30,000