Register
Find the lump sum that must be deposited today to have a future value of $32,000 in 5 years if funds earn 8% compounded annually
43.3k views
4 votes
Find the lump sum that must be deposited today to have a future value of $32,000 in 5 years if funds earn 8% compounded annually

User Andrei Margeloiu
by
8.1k points

1 Answer

3 votes
32000=p(1+0.08)^5
Solve for p
P=32000/(1.08)^5
P=32,000÷(1.08)^(5)
P=21,778.67
User Krystie
by
8.8k points
Ask a Question
Welcome to QAmmunity.org, where you can ask questions and receive answers from other members of our community.

9.4m questions

12.1m answers

Other Questions

How do you can you solve this problem 37 + y = 87; y =
What is .725 as a fraction
How do you estimate of 4 5/8 X 1/3
i have a field 60m long and 110 wide going to be paved i ordered 660000000cm cubed of cement  how thick must the cement be to cover field
Write words to match the expression. 24- ( 6+3)
Link Copied!