Answer:
Megan Brink
Brink must wait 6 years to accumulate $10,000 with a present value investment of $6,651.
Step-by-step explanation:
a) Data and Calculations:
Present value of investment = $6,651
Future value of the investment = $10,000
Interest rate per year = 6%
b) Using an online calculator:
You will need to invest 6.028 periods to reach the future value of $10,000.00.
FV (Future Value) $9,999.99
PV (Present Value) $6,651.00
N (Number of Periods) 6.028
I/Y (Interest Rate) 7.000%
PMT (Periodic Payment) $0.00
Starting Investment $6,651.00
Total Principal $6,651.00
Total Interest $3,348.99