If you are able to earn a 15% rate of return what amount would you need to invest to have $15000 one year from now?
A) $14852
B) $13125
C) $12750
D) $13044

Name: If you are able to earn a 15% rate of return what amount would you need to invest to have $15000 one year from now? A) $14852 B) $13125 C) $12750 D) $13044
Brand: Quizplus
Rating: 4.9 (46 reviews)

Question

Quizplus · Accepted Answer

Using the formula for compound interest we have:
$15000 = P(1+0.15)
Solving for P:
P = $13043.48
Therefore the closest answer is D, which is $13044.

If You Are Able to Earn a 15% Rate of Return