Question

A company will need $70,000 in 8 years for a new addition. To meet this goal, the company deposits money in an account today that pays 5% annual interest compounded quarterly. Find the amount that should be invested to total $70,000 in 8 years.

Answer 1

why is (5) (4)?

Answer 2

Sorry, replace 5 by 8.

Answer 3

\[
70000= P \left( 1+\frac{ .05}4 \right)^{(8)(4)}
\]

Answer 4

Solve for P, you get
P=47038.9

Answer 5

Did you follow me?

Answer 6

yes I was doing calculations

Answer 7

Did you get the same P that I got?

Answer 8

I cannot solve it

Answer 9

if I'm going to round it to the nearest dollard, it would be $47,039

Answer 10

???

Answer 11

Excellent, you got it right.

Answer 12

Thank YOU

Answer 13

yw