Question

Oliver is investing money, he wants to

have $80,000 in 48 years, the investment gets 9%. How much does he need to start with?

Answer 1

Oliver needs to start with $109.36 to have $80,000 in 48 years at a 9% interest rate.

This is calculated using the formula:

Future Value = Present Value x (1 + Interest Rate)^Number of Years

$80,000 = Present Value x (1 + 0.09)^48

$80,000 = Present Value x 23.72477

Present Value = $80,000 / 23.72477

Present Value = $109.36

Explanation: