# MATH

posted by .

Rico can invest money at 10%/a compounded quarterly. He would like
\$15 000 in 10 years. How much does he need to invest now?

• MATH -

PV = A( 1+i)^n
=15,000(1+0.025)^-40
=\$5586.46

• MATH -

The balance gets multiplied bu 1.025 forty times.

X*(1.025)^40 = 15,000.
2.685063838X = 15,000.

X = \$ 5586.46

## Similar Questions

1. ### math

Jim wants to deposit money in an account to save for a new stereo system in two years. He wants to have \$4,000 available at the time. The following rates are available to him: 6.2% simple interest 6.1% compounded annually 5.58% compounded …
2. ### math

how much money should you invest now to have 6000 in 11 years if you invest the money at a rate of 11.1%. compounded semiannually.
3. ### math

how much money should you invest now to have 7000 in 11 years if you invest the money at a rate of 9.3%. compounded semiannually
4. ### math

how much money should you invest now to have 5000 in 11 years if you invest the money at a rate of 9.4%. compounded semiannually

1. Mike wants to invest money every month for 40 years. He would like to have \$1 000 000 at the end of the 40 years. For each investment option, how much does he need to invest each month?
6. ### Math

James has 10,000 to invest. If he invest money in a savings account that pays 4% APR, calculate the following: a) how long will it take to have a total of 15,000 if interest is compounded quarterly (3months)?
7. ### Math

Jason Printing has \$85,000 to invest. They can invest in Wilder Revenue at 10% compounded semiannually or at Cheapskate Investments at 9.8% compounded monthly. a. Calculate the two APYs and compare them to determine your answer. Make …
8. ### Math

Jason Printing has \$85,000 to invest. They can invest in Wilder Revenue at 10% compounded semiannually or at Cheapskate Investments at 9.8% compounded monthly. a) Calculate the two APYs and compare them to determine your answer. Make …
9. ### Mathematics and investment

1. Angelo wants to renovate his house in 3 years. He estimates the cost 300,000. How much must Angelo invest now at 8% compounded quarterly in order to have 300,000 3 years from now. 2. Angelo Ancis want to save 500,000 in 5.5 years …
10. ### Precalc

suppose you want to invest \$60,000 for ten years. You can invest your money in a CD that earns 4% interest, compounded quarterly and has no risk, or you can invest your money in futures that ear 10% interest, compounded quarterly. …

More Similar Questions

Post a New Question