contestada

You have a goal of having $100,000 five years from today. The return on the investment is expected to be 8% and will be compounded semi-annually. The amount that needs to be invested today is closest to:

Respuesta :

facundobuzzetti

Answer:

PV= $67,556.42

Explanation:

Giving the following information:

Future value (FV)= $100,000

Number of periods (i)= 5*2 = 10

Interest rate (i) = 0.08/2 = 0.04

To calculate the initial investment (PV), we need to use the following formula:

PV= FV/(1+i)^n

PV= 100,000 / (1.04^10)

PV= $67,556.42

Otras preguntas