Question

present value of future amount $400,000 at 11% compounded semi annually for 25 years

Answer 1

can you please reword the question?

Answer 2

Find the present value of the following future amount. $400,000 at 11% compounded semi annually for 25 years. Thank you

Answer 3

Basically, you want to know the amount of principal that grwos to 400,000 at 11% for 25 years?

Answer 4

Yes

Answer 5

The formula is here:
http://1728.org/compint3.htm
but I can solve it for you.
Principal = Total /(1 + Rate/n) ^ n*years
Principal = 400,000 / 1+ (.11/2)^2*25
Principal = 400,000 / 1.055)^50
Principal = 400,000 / 14.5419612045
Principal = 27,506.61

Answer 6

Thank you!

Answer 7

u r welcome :-)