business math

Katie Hector wants to purchase a condo in Oxford, MS, in 20 years. The cost of the condo is expected to be $180,000. Assuming she can earn 6% annually, what should Katie deposit today?
$126,900

asked by sirsir
  1. P*1.06^20 = 180000
    P = 56125

    with a deposit of 126900, she only needs 1.76% interest. How did you arrive at that figure?

    posted by Steve
  2. 56124

    posted by Anonymous

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