Question

Martin needs $15,900 to purchase a boat. How much money will he need to invest today in a savings account earning 2.996 interest,
compounding quarterly, to have enough money to purchase the boat in 13 years? (2 points)
O a $15,311.94
Ob $14,160.39
ос $10,920.91
od $3,595.82

Answer 1

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

A is the final aount ($15,900), P is the principal (which you'll solve for), r is the interest rate as a decimal (0.02996), and t is time (13 yrs)