Final answer:
To calculate the amount that would have to be invested to have $2749.58 after 8 years with a rate of 2.5% compounded annually, you can use the formula for compound interest. The correct answer is $2,200.00.
Step-by-step explanation:
To calculate the amount that would have to be invested to have $2749.58 after 8 years with a rate of 2.5% compounded annually, we can use the formula for compound interest.
The formula is A = P(1 + r/n)^(nt), where A is the final amount, P is the principal (initial investment), r is the annual interest rate, n is the number of times interest is compounded per year, and t is the number of years.
Plugging in the given values, we have 2749.58 = P(1 + 0.025/1)^(1*8).
Solving for P, we get P = 2749.58 / (1 + 0.025)^8. Evaluating this expression, we find that P is approximately $2,321.57.
Therefore, the correct answer is option A. $2,200.00.