Question

the fein family needs to have $35,000 available in 18 years when their son is ready for college. if they have decided to invest in a mutual fund that compounds interest continuosly at 5.2%, how much money do they need to invest now to reach their goal?

Answer 1

The formula is: PV = FV / e^(r*t) where PV is the present value, FV is the future value, r is the interest rate, and t is the time in years. 6. Therefore, the Fein family needs to invest $13,732.50 now to have $35,000 available in 18 years when their son is ready for college.

Step-by-step explanation: