How much must you deposit in an account today so that you have a balance of $ 23,408 at the end of 11 years if interest on the account is 12 % p.a., but with quarterly compoundi…

Question

asked Aug 24, 2022 69.3k views

1 Answer

SqualeLis · Answer 1 · 2022-08-28T19:10:14+0000

Answer:

$6375.68

Step-by-step explanation:

Then, solve the equation for P

P = A / (1 + r/n)nt

P = 23,408.00 / (1 + 0.12/4)(4)(11)

P = 23,408.00 / (1 + 0.03)(44)

P = $6,375.68