The present value of money is the principal you need to invest today so that it will grow to an amount
at the end of specified time.The present value formula
is obtained by solving the compound interest formula
for
Recall that
is the number of years,
is the interest rate per year, and
is the number of compoundings per year.find the present value of amount
invested at rate
for
years, compounded
times per year.
A)
B)
C)
D)
E)
Correct Answer:
Verified
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