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How much do you need to invest today in order to have $8,672 at the end of 9 yea

ID: 2637223 • Letter: H

Question

How much do you need to invest today in order to have $8,672 at the end of 9 years if you are sure to earn an interest at the rate of 7%, if interest is compounded monthly? Note: Do not put $ sign in your answer. Simply write the number in the answer box How much do you need to invest today in order to have $8,672 at the end of 9 years if you are sure to earn an interest at the rate of 7%, if interest is compounded monthly? Note: Do not put $ sign in your answer. Simply write the number in the answer box

Explanation / Answer


A=P(1+R/100)^t
8672=p(1+7/1200)^(12*9)
8672=p(1+7/1200)^(108)
p=4627

Ans: 4627

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